"By using its monopoly power to obtain elevated royalties that apply to baseband processors supplied by its competitors, Qualcomm in effect collects a 'tax' on cell phone manufacturers when they use non-Qualcomm processors," the lawsuit said. "This tax weakens Qualcomm's competitors, including by reducing demand for their processors, and serves to maintain Qualcomm's monopoly in baseband processor markets. "This is an extremely disappointing decision to rush to file a complaint," Rosenberg said. "It became apparent that the FTC was driving to file a complaint before the transition to the new administration. "The San Diego , California, group in 2015 agreed to pay $975 million to settle antitrust charges in China.The tech group is challenging an EU competition inquiry which could result in a fine of up to 10 per cent of its annual sales, which amounted to $26.5 billion for Qualcomm in 2015.

Source: Economic Times January 18, 2017 01:28 UTC