The fight between Apple and Qualcomm just got another ingredient like that. As we talked about here, both are slapping themselves in courts around the globe for the payment of royalties.
On the one hand, Apple claims that it pays undue sums; on the other hand, Qualcomm says that its technologies are extremely important for the mobile market to exist in the current way, that it makes money from it and that there is nothing wrong with the amounts charged.
Now, however, Qualcomm has felt the first real blow. While the fight takes place, Apple decided to stop paying royalties company. In fact, Apple forwards the payment related to royalties to their suppliers, which in turn pass them on to companies like Qualcomm and many others.
With Apple's attitude, Qualcomm alone in its current fiscal quarter fails to raise nearly $ 500 million. Thus, the company's billing forecast, which was somewhere between $ 5.3 and $ 6.1 billion, has now been reduced to $ 4.8-5.6 billion. As a result, the company's shares ($ QCOM) are falling on the NASDAQ and investors are already wary.
Apple unilaterally declared that the terms of the agreement are unacceptable; the same terms that applied to iPhones and iPads enabled with cellular connectivity for a decade. Apple's continued interference in Qualcomm's agreements in which Apple does not participate is wrong and is the last step in its global attack on Qualcomm. We will continue to vigorously defend our business model, and pursue our right to protect and receive fair value for our technological contributions to the industry.
Don Rosenberg, executive vice president and general counsel for Qualcomm.
Obviously, Qualcomm is moving so that the dispute as a whole is resolved if it emerges victorious in this story, Apple will have to pay all due amounts (including retroactive).
(via Fortune)
