Intel has accused Qualcomm of driving it out of the mobile market. It claimed that the mobile chip manufacturer leveraged its advantages over Intel to keep its chips from being adopted by OEMs en masse, leading to the eventual offloading of its mobile chip division.
“We invested billions, hired thousands, acquired two companies and built innovative world-class products that eventually made their way into Apple’s industry-leading iPhones, including the most recently released iPhone 11. But when all was said and done, Intel could not overcome the artificial and insurmountable barriers to fair competition created by Qualcomm’s scheme and was forced to exit the market this year,” Intel said.
The firm made these statements as part of a brief filed with the US Court of Appeals where Qualcomm sought to overturn the anti-trust ruling which was levied against it earlier this year. Qualcomm was ordered to renegotiate all of its licenses as a result but had managed to win a temporary stay while it appealed the judgement in a higher court.
“Qualcomm agreed to license its modem chips on fair, reasonable, and non-discriminatory terms when it was selected to be the industry standard. Rather than abiding by these terms, Qualcomm illegally exploited its position to maintain its modem chip monopoly. The company cut off competition by refusing to license to other chipmakers and then strong-armed licensees into paying excessive fees by imposing a “no license, no chip” requirement,” said FTC Commissioner Rohit Chopra in May.