Apple allegedly plotted to hurt Qualcomm years before it sued the company

first_img Aug 31 • iPhone XR vs. iPhone 8 Plus: Which iPhone should you buy? Apple and Qualcomm settle: Here’s what it means for your next iPhone Apple and Qualcomm settle licensing dispute amid trial’s opening arguments Intel says it will exit 5G phone modems just hours after Apple, Qualcomm settle Apple, Qualcomm make opening arguments just before settlement is unveiled Apple, Qualcomm head into latest legal battle, with billions at stake reading • Apple allegedly ‘plotted’ to hurt Qualcomm years before it sued the company 34 Originally published at 10:14 a.m. PTUpdate at 11:27 a.m. PT: Adds comments from Apple’s opening argument Apple and Qualcomm battled over licensing fees for two years. Viva Tung/CNET Before Apple ever filed suit against Qualcomm, the iPhone maker allegedly wanted to hurt the company. And it put those plans down in documents obtained by Qualcomm as the two companies prepared to meet in court.  Slides with details of those documents — viewed by reporters in court, including CNET — have now been made public. You can see the full slides here (and below). In September 2014, a document from Apple titled “QCOM – Future scenarios” detailed ways the company could exert pressure on Qualcomm, including by working with Intel on 4G modems for the iPhone. Apple and its manufacturing partners didn’t actually file suit against Qualcomm until more than two years later. A second page of that document, titled “QCM – Options and recommendations (2/2)” revealed that Apple considered it “beneficial to wait to provoke a patent fight until after the end of 2016,” when its contracts with Qualcomm would expire.  “They were plotting it for two years,” Qualcomm attorney Evan Chesler, of the firm Cravath, Swaine & Moore, said during his opening arguments last week. “It was all planned in advance. Every bit of it.” apple-slideAn Apple internal document talked about ways to pressure Qualcomm. Screenshot by Shara Tibken/CNET The news came out during Qualcomm’s opening statement in last week’s aborted trial. News broke of a settlement before Chesler had wrapped up his opening remarks. CNET was in the courtroom for the opening arguments. Because the two parties settled, Apple never had a chance to rebut Qualcomm’s claims in its opening arguments.Apple in January 2017 had accused Qualcomm of anticompetitive practices that have raised chip prices, restricted competition and hurt customer choice. The company and its manufacturing partners had argued that Qualcomm’s royalty fees, which Qualcomm based on a customer’s entire device, were too high and that they should pay only for the company’s modem chips. Qualcomm, the world’s biggest mobile chipmaker, had countered that the iPhone wouldn’t be possible without its technology, and it deserved to be paid for its innovation. The settlement marked a big win for Qualcomm, which could have been forced to change its entire business model had it lost to Apple. The agreement is also a victory for consumers, who will once again have access to fast Qualcomm modems — including ones already compatible with existing 5G networks. Apple in its opening arguments said that Qualcomm’s licensing practices have hurt competitors like Intel. And Qualcomm’s policy of no license, no chips — it won’t provide a handset maker with modems until it signs a licensing agreement — “allows them to double dip.””This case is about the fact that Qualcomm has used its monopoly … to set unfair prices and stifle competition and dictate terms to some of the biggest, most powerful companies in the world, that rational companies would never agree to in a million years,” said Ruffin Cordell, an attorney with Fish & Richardson who’s representing Apple. Exerting commercial pressure The unknown Apple team behind the September 2014 document recommended applying “commercial pressure against Qualcomm” by switching to Intel modems in iPhones. Apple ultimately started using Intel modems in about half of its iPhones with devices that came out in 2016. In the US, it embedded Intel modems in AT&T and T-Mobile models of the iPhone 7 and 7 Plus, but it still used Qualcomm in versions for Verizon and Sprint. Phones Components Tech Industry See All Tags Aug 31 • iPhone 11, Apple Watch 5 and more: The final rumors • Aug 31 • Best places to sell your used electronics in 2019 Patents Qualcomm 5G 4G LTE Apple Share your voice Aug 31 • Your phone screen is gross. Here’s how to clean it Comments Qualcomm, for its part, knew by June 2014 about Apple’s plans to use Intel chips in 2016, according to an internal email from its president, Cristiano Amon, that was displayed during opening arguments. “Decision already has been made and beyond the point of no return on the 2nd source (Intel) for the 2016 premium tier,” Amon wrote to CEO Steve Mollenkopf, CTO Jim Thompson, General Counsel Don Rosenberg and then-licensing chief Derek Aberle. Apple “said that as a result of our policies, other chip companies can’t compete with us,” Chesler said during his opening arguments. “Where did Intel get the chips from? From god? They made them using our technology.” Another Apple internal document from June 2016 said the company wanted to “create leverage by building pressure three ways,” according to a slide shown in court. The internal document said, in part, that Apple wanted to “hurt Qualcomm financially” and “put Qualcomm’s business model at risk.” The best patents Qualcomm supplies network connectivity chips for Apple’s iPhones and is the world’s biggest provider of mobile chips. Its technology is essential for connecting phones to cellular networks. The company derives a significant portion of its revenue from licensing its inventions to hundreds of device makers, with the fee based on the value of the phone, not the components.  Qualcomm owns patents related to 3G, 4G and 5G phones — as well as other features like software — so any handset makers building a device that connects to the networks has to pay it a licensing fee, even if they don’t use Qualcomm’s chips.  Apple had purchased Qualcomm modems for its iPhones for years until the falling out. One 2009 memo said Qualcomm is “widely considered the owner of the strongest patent portfolio for essential and relevant patents for wireless standards.”  “Engineering wise, they have been the best,” Johny Srouji, Apple’s head of semiconductors, said in a March 2015 email.  The earlier memo also noted that while more than half of Qualcomm’s patent portfolio was communications and silicon engineering, it “has more significant holdings in other areas, including many areas relevant to Apple.” That included media processing, non-cellular communications and hardware. Apple had argued in its lawsuit that Qualcomm’s technology was only used in its modem and it shouldn’t be forced to pay Qualcomm royalties for innovations it had nothing to do with.  “What makes your smartphone smart is what the people up the road in La Jolla invented,” Chesler said in court, referring to the San Diego-area town where Qualcomm’s offices are based. “The reason they pay us more is because what we created is worth more.” See also Applelast_img read more

Sri Lanka churches hotels bomb attacks toll rise to 138

first_imgA shoe of a victim is seen in front of the St. Anthony`s Shrine, Kochchikade church after an explosion in Colombo, Sri Lanka on 21 April 2019. Photo: ReutersEaster Day bomb blasts at three Sri Lankan churches and three luxury hotels killed 138 people and wounded more than 400, hospital and police officials said, following a lull in major attacks since the end of the civil war 10 years ago.In just one church, St. Sebastian’s in Katuwapitiya, north of Colombo, more than 50 people had been killed, a police official told Reuters, with pictures showing bodies on the ground, blood on the pews and a destroyed roof.Media reported 25 people were also killed in an attack on a church in Batticaloa in Eastern Province.The three hotels hit were the Shangri-La Colombo, Kingsbury Hotel and Cinnamon Grand Colombo. It was unclear whether there were any casualties in the hotels.Nine foreigners were among the dead, the officials said.There were no immediate claims of responsibility for the attacks in a country which was at war for decades with Tamil separatists until 2009 during which bomb blasts in the capital were common.Prime minister Ranil Wickremesinghe called a national security council meeting at his home for later in the day.One of the explosions was at St Anthony’s Church in Kochcikade, Colombo.”Our people are engaged in evacuating the casualties,” a source with the bomb squad said.St. Sebastian’s church posted pictures of destruction inside the church on its Facebook page, showing blood on pews and the floor, and requested help from the public.Sri Lankan military officials stand guard in front of the St. Anthony`s Shrine, Kochchikade church after an explosion in Colombo, Sri Lanka on 21 April 2019. Photo: ReutersLast year, there were 86 verified incidents of discrimination, threats and violence against Christians, according to the National Christian Evangelical Alliance of Sri Lanka (NCEASL), which represents more than 200 churches and other Christian organisations.This year, the NCEASL recorded 26 such incidents, including one in which Buddhist monks allegedly attempted to disrupt a Sunday worship service, with the last one reported on 25 March.Sri Lankan security personnel keep watch outside the church premises following a blast at the St. Anthony`s Shrine in Kochchikade, Colombo on 21 April 2019. Photo: AFPOut of Sri Lanka’s total population of around 22 million, 70 per cent are Buddhist, 12.6 per cent Hindu, 9.7 per cent Muslim, and 7.6 per cent Christian, according to the country’s 2012 census.In its 2018 report on Sri Lanka’s human rights, the US State Department noted that some Christian groups and churches reported they had been pressured to end worship activities after authorities classified them as “unauthorised gatherings.”The report also said Buddhist monks regularly tried to close down Christian and Muslim places of worship, citing unidentified sources.last_img