Qualcomm to refund BlackBerry $815 mn in royalties

April 12, 2017
BlackBerry, who logo is displayed at the Mobile World Congress in Barcelona, is getting $815 million from chipmaker Qualcomm following arbitration in a patent dispute

US mobile chip giant Qualcomm is to refund BlackBerry $814.9 million in royalties overpaid by the Canadian company, according to a tentative arbitration award announced on Wednesday.

A final award expected to include interest and legal fees will be determined in late May at a hearing in Southern California where the arbitration took place.

"BlackBerry and Qualcomm have a longstanding relationship and continue to be valued technology partners," BlackBerry chief executive John Chen said in a release.

"We are pleased the arbitration panel ruled in our favor and look forward to collaborating with Qualcomm."

Shares in BlackBerry, which has largely exited the mobile handset business in favor of software and services, jumped 16.9 percent to nine dollars in trading on the Nasdaq exchange after the arbitration award was announced.

Qualcomm said in a separate release that it does not agree with the decision, but that it is binding and can not be appealed.

The chip maker contended that the arbitration regarded contractual provisions unique to BlackBerry and "has no impact" on licensing agreements with other companies.

In a legal filing late Monday, Qualcomm denied the charges made by Apple in a lawsuit filed in January, while accusing Apple of failing to negotiate in good faith on patent royalties.

Apple's complaint argued that Qualcomm abused its market power to demand unfair royalties, echoing charges by US and authorities around the world.

But Qualcomm responded that Apple was abusing its position in the smartphone market to reduce the royalties it pays for technologies contributing to the success of the iPhone.

It added that Apple has encouraged antitrust regulators around the world—with complaints launched in South Korea, the European Union and elsewhere—by "intentionally giving government agencies false and misleading information and testimony about Qualcomm."

In January, the US Federal Trade Commission hit Qualcomm with an alleging it abused its dominant position in the market for processors used in cell phones and other devices, resulting in higher prices for consumers.

Explore further: Qualcomm fires back at Apple with countersuit

Related Stories

Qualcomm fires back at Apple with countersuit

April 11, 2017

Qualcomm has moved on the offensive in its legal battle with Apple with a countersuit claiming the iPhone maker breached agreements and encouraged regulatory attacks worldwide on the US computer chipmaker.

Qualcomm signs patent license with Xiaomi

December 3, 2015

Qualcomm has inked a technology licensing deal with smartphone maker Xiaomi - a major Chinese firm that previously balked at paying royalties for use of the San Diego company's patents.

Recommended for you

Archaeologists discover Incan tomb in Peru

February 16, 2019

Peruvian archaeologists discovered an Incan tomb in the north of the country where an elite member of the pre-Columbian empire was buried, one of the investigators announced Friday.

Where is the universe hiding its missing mass?

February 15, 2019

Astronomers have spent decades looking for something that sounds like it would be hard to miss: about a third of the "normal" matter in the Universe. New results from NASA's Chandra X-ray Observatory may have helped them ...

What rising seas mean for local economies

February 15, 2019

Impacts from climate change are not always easy to see. But for many local businesses in coastal communities across the United States, the evidence is right outside their doors—or in their parking lots.

The friendly extortioner takes it all

February 15, 2019

Cooperating with other people makes many things easier. However, competition is also a characteristic aspect of our society. In their struggle for contracts and positions, people have to be more successful than their competitors ...

0 comments

Please sign in to add a comment. Registration is free, and takes less than a minute. Read more

Click here to reset your password.
Sign in to get notified via email when new comments are made.