Qualcomm’s New Lawsuit Cites Six Patents, Seeks US Sales Ban of Infringing Apple Products

Qualcomm is about to enter another round of its legal battle against Apple. With a new complaint, the company is set to file on Friday with the U.S. ITC. In the complaint, Qualcomm accuses Apple of infringing its patents that cover various technologies that can extend the battery life of a mobile device and seeks to ban sales of Apple’s devices in the U.S with a limited exclusion order for non-Qualcomm baseband Apple devices, and a Cease and Desist Order for all infringing devices.

Back in January, Apple filed a lawsuit against Qualcomm and accused the company of overcharging for its chips and withholding a payment of about $1 billion in promised rebates, which is what Apple wants to get from its partner. Several days before Apple sued Qualcomm, the U.S. ITC charged the latter company with multiple antitrust violations, one of which was preclusion of Apple from sourcing baseband modems from Qualcomm’s rivals. In April, Qualcomm countersued Apple and accused the company of numerous wrongdoings, including interfering Qualcomm’s business relationships with manufacturers of Apple iOS devices as well as of artificially limiting capabilities of Qualcomm’s modem in the iPhone 7. In the new lawsuit to be filed on Friday, Qualcomm is accusing Apple of infringing six of its patents not related to wireless networks and 'is seeking a Cease and Desist Order barring further sales of infringing Apple products that have already been imported and to halt the marketing, advertising, demonstration, warehousing of inventory for distribution and use of those imported products in the United States'.

The patents in question (see table below for details) cover various techniques that can extend the battery life of mobile devices. The patents are not covered by any industry standard, are not essential parts of any devices, and all six patents were issued in the last four years, Qualcomm asserts. At least one of the patents covers an essential aspect of any modern mobile SoC (e.g., a GPU stream processor supporting mixed precision instruction execution) and it could be considered impossible to build one without infringing that particular patent.

Qualcomm claims that Apple’s iOS devices use the aforementioned Qualcomm’s patents all the time, yet the hardware maker does not pay any royalties. What is ironic about the lawsuit is that while it does not involve Qualcomm’s wireless patents, it seeks to stop sales of iPhones and iPads with modems that compete against those from Qualcomm, essentially forcing Apple to buy baseband processors only from Qualcomm.

Qualcomm expects the ITC investigation to start in August and for the case go to trial in 2018. In addition to the complaint with the ITC, Qualcomm also filed a lawsuit against Apple in the U.S. District Court for the Southern District of California alleging of the same wrongdoings.

We have questions fired at Qualcomm and Intel and will update in due course when we get responses.

Official Qualcomm Press Release

SAN DIEGO, July 6, 2017 /PRNewswire/ -- Qualcomm Incorporated (Nasdaq: QCOM) today announced that it is filing a complaint with the United States International Trade Commission (ITC) alleging that Apple has engaged in the unlawful importation and sale of iPhones that infringe one or more claims of six Qualcomm patents covering key technologies that enable important features and functions in iPhones. Qualcomm is requesting that the ITC institute an investigation into Apple's infringing imports and ultimately issue a Limited Exclusion Order (LEO) to bar importation of those iPhones and other products into the United States to stop Apple's unlawful and unfair use of Qualcomm's technology. The Company is seeking the LEO against iPhones that use cellular baseband processors other than those supplied by Qualcomm's affiliates. Additionally, Qualcomm is seeking a Cease and Desist Order barring further sales of infringing Apple products that have already been imported and to halt the marketing, advertising, demonstration, warehousing of inventory for distribution and use of those imported products in the United States.

"Qualcomm's inventions are at the heart of every iPhone and extend well beyond modem technologies or cellular standards," said Don Rosenberg, executive vice president and general counsel of Qualcomm. "The patents we are asserting represent six important technologies, out of a portfolio of thousands, and each is vital to iPhone functions.  Apple continues to use Qualcomm's technology while refusing to pay for it. These lawsuits seek to stop Apple's infringement of six of our patented technologies."

The six patents, U.S. Patent No. 8,633,936, U.S. Patent No. 8,698,558, U.S. Patent No. 8,487,658, U.S. Patent No. 8,838,949, U.S. Patent No. 9,535,490, and U.S. Patent No. 9,608,675 enable high performance in a smartphone while extending battery life.  Each of the patents does so in a different way for different popular smartphone features; https://www.qualcomm.com/iphone-infographic. While the technologies covered by the patents are central to the performance of the iPhone, the six asserted patents are not essential to practice any standards in a mobile device or subject to a commitment to offer to license such patents.

Qualcomm today also filed a complaint against Apple in the U.S. District Court for the Southern District of California alleging that Apple infringes the same six patents in the complaint filed in the ITC. The complaint seeks damages and injunctive relief.

Qualcomm expects that the ITC investigation will commence in August and that the case will be tried next year.

Related Reading

• Qualcomm Countersues Apple, Accuses Company of Launching Global Attack Against Qualcomm
• United States FTC Charges Qualcomm with Antitrust Violations over Cellular Modem Patents & Technology