ITC

Qualcomm, Broadcom each gain in latest court rulings

Peggy Albright — Sun, 21 Sep 2008 19:09:27 -0400

The long-standing and bitter patent disputes between Broadcom and Qualcomm moved a bit forward Friday, when the U.S. Court of Appeals for the Federal Circuit issued several rulings that give some success to each side.

In Broadcom's favor, the appeals court vacated part of a ruling that had been previously found in Qualcomm's favor. The previous ruling, which had been issued by the U.S. International Trade Commission, was that eight Qualcomm chip products did not violate a Broadcom patent for sending and receiving RF signals. In its decision Friday, the appeals court revived Broadcom's claim about this patent with regard to one of the Qualcomm chips and sent that particular case back to the ITC. It upheld the ITC ruling in Qualcomm's favor pertaining to the other seven chips, affirming that those seven products did not infringe on Broadcom's patent.

Also in Qualcomm's favor, the appeals court upheld another ITC ruling that the eight Qualcomm chips do not violate a Broadcom patent pertaining to power saving.

The appeals court has yet to rule on Qualcomm's appeal of a prior, more sensational ITC decision that banned the sale in the U.S. of cell phone products built with Qualcomm chips that were ruled to infringe on yet another Broadcom patent.

Last month, a Santa Ana, Calif. federal judge ruled Qualcomm violated an injunction against infringing on three Broadcom patents Qualcomm has been found to use in certain QChat push-to-talk technologies, and the judge ordered Qualcomm to pay the appropriate royalties to Broadcom. In July, Qualcomm and Nokia, which also fought over patent rights for many years, finally settled their differences, to the relief of investors and vendors.

For more:
- see the LA Times

Related articles:
Qualcomm slapped for violating Broadcom ban
Qualcomm-Broadcom spat slows Sprint's QChat
Qualcomm, Nokia end long-standing patent disputes
Nokia gains patent victory over Qualcomm in Germany

Appeals court stays Qualcomm import ban

Thu, 13 Sep 2007 06:59:57 -0400

Qualcomm scored a rare victory in its tenuous battle with Broadcom. Despite losing its own request to stay import ban on mobile phones containing its chips, a federal judge yesterday granted a stay pending appeal that will allow third parties to import handsets into the United States originally banned by the International Trade Commission (ITC).

These third parties argued that since Broadcom only filed its complaint against Qualcomm, the ITC did not have the power to block the imports by companies beside Qualcomm. Judge Haldane Mayer on the U.S. Court of Appeals for the Federal Circuit agreed. The stay only applies to all third parties that filed motions seeking a stay of the limited exclusion order imposed by the ITC on June 7. Those companies were Kyocera Wireless, Motorola, Samsung Electronics, Sanyo, T-Mobile, LG Electronics and AT&T Mobility. Interestingly, Sprint Nextel isn't part of the group but has indicated its support of a Qualcomm workaround solution. Verizon Wireless is the only operator to make a licensing deal with Broadcom.

For more about the appeals court ruling:
- read this article from AP
- take a look at this release from Qualcomm
- read this release from Broadcom

Related Articles:
Nokia's timing couldn't be worse for Qualcomm
Qualcomm has bad week on the patent front

ITC to study InterDigital's complaint against Nokia

Mon, 10 Sep 2007 06:59:55 -0400

The patent wars that usually headline Qualcomm, Nokia and Broadcom took a different turn last week as InterDigital successfully urged the U.S. International Trade Commission to investigate its antitrust complaint against Nokia. InterDigital maintains that Nokia's N75 WCDMA handset infringes on two of its patents. InterDigital wants a ban on the import of N75 and a cease and desist order to bar more sales of models that have already been imported in the U.S. It appears we'll be seeing the number of complaints with the ITC increase now that Broadcom has successfully gotten the ITC to ban certain phones with Qualcomm chips from being sold in the U.S.

To read more about the ITC's move to investigate InterDigital's complaint:
- take a look at this article from eWeek

Nokia asks ITC to ban Qualcomm imports

Mon, 20 Aug 2007 06:59:56 -0400

Nokia asked the International Trade Commission (ITC) to ban imports of certain Qualcomm chipsets and handsets that it claims infringe on five of its patents. This reads like a re-run of the Broadcom case against Qualcomm, and that's exactly what Nokia wants it to read like. Similarly to Broadcom, Nokia says the alleged patent infringement involves patents for technologies that improve performance and efficiency of wireless phones.

"We are taking this action to stop Qualcomm's practice of copying Nokia's patented technology, without permission, and making these innovations available to its chipset customers," Nokia's CFO Rick Simonson said.

Qualcomm has already filed complaints against Nokia for allegedly infringing on six of its patents and the commission is expected to convene a trial on those accusations next month.

For more on the Nokia-Qualcomm ITC battle:
- read this WSJ article (sub. req.)

Qualcomm has bad week on the patent front

Thu, 09 Aug 2007 06:59:57 -0400

Broadcom continues to punish Qualcomm on the patent front. The CDMA innovator, which derives much of its revenues from licensing CDMA-based patents, was dealt a blow by the Bush administration this week. The president let stand the U.S. International Trade Commission ruling that bans the import of certain mobile phones containing Qualcomm 1xEV-DO and WCDMA chips. The ITC previously ruled that the chips infringed on Broadcom patents.

Qualcomm has vowed to pursue an appeal and stay request with the Federal Circuit Court of Appeals. The company says it is working on a software workaround solution to circumvent Broadcom's patents. Sprint says it is developing a workaround solution too. This all sounds too much like the Research in Motion/NTP patent fight.

Meanwhile, a federal judge ruled that Qualcomm engaged in "aggravated litigation abuse" and waived its rights to enforce certain video transmission technology patents related to the H.264 video compression standard used in some high definition products. The court ordered Qualcomm to pay all of Broadcom's fees and costs in defending the patent infringement case.

For more about Qualcomm's patent woes:
- read this piece from FierceWireless
- take a look at this article from bizjournals.com

Qualcomm, Broadcom brace for possible veto today

Mon, 06 Aug 2007 06:59:58 -0400

I'm taking a risk by writing about the pending Bush administration's decision to either veto or let stand the International Trade Commission's (ITC) ban on the import of 3G phones using Qualcomm chipsets that Broadcom says infringe on its patents. Susan Schwab, the U.S. Trade Representative is supposed to decide on the matter today, hopefully after this newsletter is delivered to your inbox.

Interestingly, David Rosmann, Broadcom's vice president of intellectual property, told EE Times Europe that he suspects the White House ruling will go in favor of Qualcomm. White House vetoes of such rulings are quite rare, so it's a telling revelation, especially when Qualcomm continually refuses to settle with Broadcom.

That hasn't stopped Broadcom from its last-ditch effort to persuade the White House to let the ruling stand. The company renewed its argument that a ruling in favor of Qualcomm will have a negative impact on U.S. efforts to force other countries to enforce IP rights. Meanwhile, CTIA has been arguing about the severe impact such a ban will have on the American economy.

Qualcomm, of course, has been conducting some high-powered lobbying of its own. It has been exploiting the fact that the country's 911 system could be exposed if the ban is left to stand because of a flaw in older generation Qualcomm chips. The flaw, known as voice blanking, sometimes occurs when the transmission of location coordinates from the mobile phone to the 911 center disrupts the voice channel between the caller and the 911 dispatcher. Public-safety entities have made their concern known, agreeing that Qualcomm's newly banned 3G chipsets solve this flaw. Recently, Broadcom has countered, saying it is willing to grant free licenses for its technology to state and local public-safety users, according to the EE Times Europe article.

Will today's outcome be a reflection of lobbying prowess or a real consideration for how such a ban impacts the American economy?--Lynnette

Qualcomm: No deal with Broadcom

Mon, 30 Jul 2007 06:59:55 -0400

Qualcomm said a settlement with rival vendor Broadcom is not likely given the potential impact on the CDMA innovator's licensing business. During its quarterly results announcement last week, Qualcomm said it would continue to defend itself against Broadcom's attempts to keep WCDMA and EV-DO handsets containing Qualcomm's chipsets out of the U.S.

Verizon has agreed to pay Broadcom to use the disputed chip technology in its phones.

"Although Verizon announced it has entered into a license agreement with Broadcom eliminating the risk of not being able to import handsets using our chips for use in Verizon's network, a comprehensive settlement between us and Broadcom is unlikely given Broadcom's insistence on terms which could have a material impact on our licensing business," the company said.

The Bush administration has until Aug. 6 to veto the ITC's ruling or let it stand.

For more about Qualcomm's unwillingness to settle with Broadcom:
- read this article from telecoms.com (sub. req.)
- take a look at this report from Dow Jones

Verizon cuts deal with Broadcom

Mon, 23 Jul 2007 06:59:55 -0400

In a surprising move, Verizon Wireless announced that it had entered into a licensing deal with Broadcom so it can continue to import and sell devices that are the subject of a patent dispute between Broadcom and Qualcomm.

The International Trade Commission (ITC) earlier this summer ruled in favor of Broadcom and issued a ban on the import of new cell phones made with Qualcomm 1xEV-DO and WCDMA chipsets. The ITC said those chipsets infringe upon patents held by Broadcom. Verizon has agreed to pay Broadcom to use the disputed chip technology in its phones. Verizon now says it will pay Broadcom a rate of $6 per 1xEV-DO handset, PDA or data card sold after the effective date, subject to a maximum payment of $40 million per calendar quarter and a lifetime maximum payment of $200 million.

Nancy Stark, spokeswoman at Verizon Wireless, said the carrier decided to go this route so that it could take its customers out of the middle of this patent dispute.

Does the move undermine Qualcomm's strength in fighting the ITC's decision?

Qualcomm got some more bad news on Friday when a federal court dismissed the chip maker's request to delay the ITC's import ban. The U.S. Court of Appeals for the Federal Circuit said it did not have jurisdiction to consider Qualcomm's request, because the import limits are still under review by the Bush administration. The administration has until August 6 to decide whether to veto the ITC's decision.

For more about Verizon's deal with Broadcom and the federal court's decision:
- read this piece from sister publication FierceWireless
- take a look at this article from AP
- see this release

CTIA renews call for veto of ITC chip ban

Mon, 16 Jul 2007 06:59:56 -0400

As the White House ponders whether to veto the International Trade Commission's ban on mobile devices containing Qualcomm's 3G chipsets, the Cellular Telecommunications & Internet Association (CTIA) renewed its concern about the impact of the ban, citing a report from The Brattle Group that says $21.1 billion could be at stake for U.S. consumers and producers.

"CTIA-The Wireless Association is deeply concerned that the ITC order banning new models of wireless broadband handsets will cause unprecedented economic harm to tens of millions of American wireless consumers, and because of that we urge President Bush to veto the order," said CTIA CEO Steve Largent.

The ITC banned the import of new cell phones made with Qualcomm 1xEV-DO and WCDMA chipsets. The ITC says those chipsets infringe upon patents held by Broadcom. Qualcomm is pursuing a presidential veto and garner an appeal in federal court. White House vetoes of ITC orders are rare, with the last such presidential veto of an ITC decision coming more than 20 years ago. The White House has 60 days from June 7 to act on the request for a veto.

The Brattle Group analysis concludes that the ITC order will cause direct economic damage to U.S. consumers and producers, ranging between $4.3 billion and $21.1 billion and will cause billions more in lost productivity across the U.S. economy. The direct economic harm to consumers alone could be as high as $17.7 billion, the report says.

For more about CTIA's concerns and The Brattle Group's report:
- read this release
- check out the report

Related articles:
- Qualcomm pulls out all the stops for ITC veto case
- Qualcomm rejects Broadcom settlement offer
- Broadcom urges president to uphold chip ban