Korean Ruling Places Qualcomm’s Business Model at Risk

On December 28, 2016, the Korean Fair Trade Commission (KFTC) issued a steep fine (“KFTC Ruling”) against Qualcomm for antitrust violations in patent licensing and modem chip sales – a record penalty that the U.S. company will challenge in court. Finding that Qualcomm leverages its standard-essential patent (SEP) portfolio to further its chipset business in contravention of Qualcomm’s fair, reasonable and nondiscriminatory (FRAND) obligations and Korean antitrust law, the agency levied a penalty of over US$850 million and directed Qualcomm to alter its business model.

The KFTC Ruling is just one of the latest challenges to Qualcomm’s licensing strategy and also sets forth Korea’s understanding of what FRAND obligations entail.  Mintz Levin attorneys provide detail and insight in “Korea, In Sanctioning Qualcomm, Articulates A New Meaning For ‘FRAND’“, as published on IP Law 360.

[View source.]

DISCLAIMER: Because of the generality of this update, the information provided herein may not be applicable in all situations and should not be acted upon without specific legal advice based on particular situations.

© Mintz - Intellectual Property Viewpoints | Attorney Advertising

Written by:

Mintz - Intellectual Property Viewpoints
Contact
more
less

Mintz - Intellectual Property Viewpoints on:

Reporters on Deadline

"My best business intelligence, in one easy email…"

Your first step to building a free, personalized, morning email brief covering pertinent authors and topics on JD Supra:
*By using the service, you signify your acceptance of JD Supra's Privacy Policy.
Custom Email Digest
- hide
- hide

This website uses cookies to improve user experience, track anonymous site usage, store authorization tokens and permit sharing on social media networks. By continuing to browse this website you accept the use of cookies. Click here to read more about how we use cookies.