Apple looking beyond Qualcomm for smartphone components


Apple responded to this, saying that the company had tried to negotiate before suing and that Qualcomm is abusing its position. Qualcomm alleges in the latest suit that Apple failed to protect the chipmaker's software and isn't allowing an audit to review how the iPhone maker handles the software, an obligation that Qualcomm says is included in their contract.

In January, Apple sued Qualcomm for almost $1 billion for charging a hefty price for royalties on technologies that Apple said the chipmaker should not be associated with.

Apple uses Qualcomm modems, chips that connect the iPhone to cellular networks.

It's already attempted to in the past, as the iPhone 7 and iPhone 7 Plus carried both Intel and Qualcomm chips, as did this year's iPhone 8 and iPhone 8 Plus.

In July, Apple sought details from Qualcomm on implementing an "interprocessor" communication protocol-information that is considered highly sensitive and contains company trade secrets, according to the lawsuit.

The drop was due to reports of Apple considering using components from Intel and MediaTek, thus dropping Qualcomm from the equation entirely.

In another instance, Qualcomm alleged that an Apple engineer working on a competing chip asked an Apple engineer working with Qualcomm to get technical information from Qualcomm.

The filing marks the latest in an ongoing legal war that started with Apple accusing Qualcomm of charging unfair royalties then asking a court to invalidate Qualcomm's business model.

However, Apple has now cut off those payments, costing Qualcomm an estimated $2 billion a year in revenue. Apple requested that its contract manufacturers withhold royalties to Qualcomm until the dispute is resolved.



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