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Apple is Gearing Up for Court Against Qualcomm

All indications are that Apple is preparing for an intense court battle with friend-now-foe Qualcomm.  In a report from Reuters, the Cupertino company is not in talks with the mobile chip maker and is preparing to go to court.

Apple sued Qualcomm in federal court earlier this year, claiming that the chip manufacture was “double-dipping” on royalty fees for both the chips and the sales of iPhones.  Qualcomm denied the claim and alleged that Apple owed them some $7 billion in royalties.

According to the report in Reuters the companies remain far apart and that no meaningful conversation is happening to avoid a lengthy and costly court battle.

“There is absolutely no meaningful discussion taking place between us and Qualcomm, and there is no settlement in sight,” the person said. “We are gearing up for trial.”

For their part, the San Diego based chip maker, Apple is only one of their legal problems.  Currently they have a similar suit against them from Chinese manufacture Huawei.  Add to this a Federal Trade Commission (FTC) lawsuit for anti-competitive practices.  In other words, Apple may be the least of their troubles.

That said, Qualcomm’s Chief Executive Officer Steve Mollenkopf told investors back in July that the company is actively looking for a solution to the case.

“We continue to talk. We also have a number of … legal strategies that are in flight,” Mollenkopf said on the call. “And we hope that through the combination of either those paths, we could get to a resolution, and we’re confident that we will.”

The statement is in juxtaposition to Apple’s so it does beg the question of who’s right on the matter.

As for the case, if it does indeed go to trial, that would happen early in 2019.  That gives both companies plenty of times to get their arguments ready for battle in San Diego federal court.

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