Automakers are submitting an FTC attraction within the Qualcomm patent licensing case


A gaggle of tech firms and automakers, together with Tesla, Ford, Honda and Daimler, urged the US Federal Commerce Fee on Monday to attraction a case in opposition to chip provider Qualcomm after their loss.

Earlier this month, a US appeals courtroom overturned a decrease courtroom ruling in opposition to Qualcomm, which manufactures know-how for connecting units to cell knowledge networks. The courtroom additionally overturned an injunction requiring Qualcomm to alter its patent licensing practices.

Qualcomm contested a ruling by U.S. District Decide Lucy Koh in Could 2019 in San Jose, California, on a case filed by the FTC. Becoming a member of the FTC, Koh wrote that Qualcomm’s apply of requiring cellphone producers to signal a patent licensing settlement earlier than promoting chips “strangles” competitors and harms shoppers.

Automakers are more and more utilizing chips in autos to attach them to the Web, which is why they must signal patent agreements for communication requirements like 5G. The businesses had beforehand argued that related automobile costs may rise if Qualcomm received its case.

Qualcomm received its attraction in opposition to that ruling within the US Court docket of Appeals for the Ninth Circuit in a three-person panel ruling on Aug. 11. In a letter despatched on Monday, automakers and Qualcomm rivals Intel and MediaTek referred to as on the FTC to hunt an “en banc” appeals courtroom evaluate of the case.

“If the panel’s choice persists, it may destabilize the requirements ecosystem by encouraging the abuse of market energy acquired by the joint-setting of requirements,” the group mentioned.

An FTC spokeswoman declined to remark.

(Reporting by Stephen Nellis; Modifying by Cynthia Osterman and Tom Brown)


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