US: Qualcomm is now suing Apple’s iPhone manufacturing partners

Chipmaker Qualcomm  has escalated its patent battle with Apple suing Foxconn and three other Taiwanese manufacturers that supply iPhone and iPad components for not paying royalties.

Apple filed a lawsuit against Qualcomm in January, accusing it of overcharging for chips and refusing to pay some $1 billion in rebates – a move that came days after the U.S. government accused the chipmaker of using anticompetitive tactics to maintain a monopoly over key semiconductors in mobile phones.

Qualcomm has called Apple’s suit baseless and has said the iPhone maker was encouraging regulatory attacks on its business.

On Wednesday, Qualcomm said in its complaint that Apple had advised the four contract manufacturers to withhold royalty payments and agreed to indemnify them against any damages resulting from the breach of their agreements with Qualcomm.

It did not disclose the sum of the alleged unpaid royalties in the complaint which was filed in the United States District Court for the Southern District of California. Qualcomm is seeking an order for the suppliers to comply with contractual obligations as well as damages.

Full Content: Bloomberg

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