Analysis

Qualcomm Licensees Face Risk In Fighting Deals After Ruling

Law360 (May 30, 2019, 8:05 PM EDT) -- Now that a judge has ruled that Qualcomm's patent licensing tactics violate antitrust law, can the company's licensees rely on the ruling to escape the terms of their deals pending an appeal? Attorneys say they have a shot, but they run the risk of antagonizing the chip giant.

In a decision last week, U.S. District Judge Lucy Koh ruled in favor of the Federal Trade Commission and concluded that Qualcomm policies like requiring smartphone makers to license its patents in order to buy its chips have "strangled competition" and resulted in "unreasonably high" royalty rates.

She ordered Qualcomm to renegotiate all...

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