Chip infringement was definitely fined and Qualcom

2022-06-16
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Chip infringement was definitely fined, and Qualcomm lost the battle.

Qualcomm, which often benefits from patent lawsuits, did not expect to lose the battle in patent lawsuits this time

on november26,2007, Broadcom, an American chip manufacturer, said that the judge had confirmed the jury verdict that Qualcomm had infringed its three patents. It is understood that Broadcom said that it would accept US $19.6 million patent damages from Qualcomm and requested the court to issue an injunction prohibiting Qualcomm from developing, producing, using and selling WCDMA and EV-DO chips based on these three patents

as early as August 2007, James v. Selna, a judge of the U.S. District Court, ordered Qualcomm to pay $39.3 million in damages to Broadcom. The jury held that Qualcomm deliberately infringed three technology patents of Broadcom, which can help mobile process video and walkie talkie conversations, and handle calls between different networks

Christine, Qualcomm spokesman Trimble said that Qualcomm intends to request the court to approve it to pay royalties to Broadcom, instead of letting Qualcomm stop producing, selling and developing chips with patent disputes

it is reported that Qualcomm is the world's second largest mobile chip manufacturer, behind Texas Instruments, and most of its revenue comes from its patent licensing fees. Broadcom is a latecomer in the chip business, but it has won several patent lawsuits with Qualcomm in 2007

Qualcomm, which has frequently benefited from patent lawsuits, has always played the role of winner in patent lawsuits. However, this time, Qualcomm fell in front of patent lawsuits and finally tasted the bitter fruit of infringing others' patents

lost the battle and returned

Qualcomm scientific innovation polyurethane materials, which has enjoyed great success for many years, helped the European Cup division, but it was just a small enterprise more than a decade ago

Evan Jacobs, the founder of Qualcomm, once started a small company. This ordinary company selling products has nothing in common with the later Qualcomm, nor has it passed on any business philosophy to Qualcomm. But selling its money has accumulated Qualcomm's first initial capital

After Jacob sold his small company, he was ready to spend the rest of his life in Santiago, a beautiful coastal city. But at this time, he took a fancy to the CDMA technology originally belonging to the US military. Because there was no mobile communication at that time, the transport truck heard nothing after leaving the company headquarters. Jacob made use of CDMA technology to make a satellite positioning device that provides communication for outgoing trucks and headquarters. Compared with later CDMA, these large boxes are bulky and rough, and can not transmit sound. Nevertheless, truck drivers and headquarters are happy to deliver instant messages through satellite positioning and keyboard tapping. The original CDMA products made some money. Jacob had an extravagant hope at this time: to turn this thing into a global mobile communication standard adopted by the world. Before Jacob, CDMA technology had been noticed by many people, but no one had such a crazy idea

so Jacob set up another company to realize his dream, which is today's Qualcomm. Jacob summoned more than 20 technical talents to successfully "convert the CDMA technology from military to civilian". Soon, the CDMA technology that can be used for personal mobile communication was born into a common friction research field. At that time, the productization of GSM technology, its competitor, was becoming mature. Qualcomm has experienced many life and death hurdles since then. It has proved that the invention and creation of CDMA technology is only the easiest hurdle in the "9981" dilemma on the road to learn from the Scriptures in the West. The configuration of corresponding devices can also realize experiments such as bending and twisting.

Qualcomm's engineers and technicians at that time may not understand the operation, but they did two most important things: first, they submitted Qualcomm's CDMA technology to the American standards organization TIA and the world standards organization ITU, and applied to be established as the world mobile communication standard; Second, Qualcomm applied for patents for all technologies, large and small, in the CDMA R & D process. At that time, all the communication giants were in a fierce battle for GSM patents. No one paid attention to the tricks that the small company was playing. Naturally, no one went to compete with Qualcomm for patents. Therefore, when GSM's vested interests found that CDMA had been killed halfway, on the one hand, they disdained Qualcomm's small size, and on the other hand, they were extremely surprised that all the key CDMA patents had fallen into Qualcomm's hands

standards and patents have become a powerful weapon for Qualcomm to resist competitors hundreds of times larger than itself in the future, and also won a huge fortune for Qualcomm. But now Qualcomm has finally met its opponent

on June 7, 2007, the United States International Trade Commission (ITC) issued a ban, saying that it would ban the import of certain products containing Qualcomm chips. Among the 6 members of the Trade Commission, 4 voted in favor of taking measures against Qualcomm. The ban includes infringing chips, but those imported before June 7 are not within the scope of the ban

in 2006, the administrative judge and the Committee of the US International Trade Commission successively found that Qualcomm baseband chip infringed the patent applied by Broadcom. This technology is mainly used in power-saving devices. During the review, ITC developed a set of balanced corrective measures after months of detailed research on the mountain of evidence and two days of public hearings. ITC's corrective actions have limited Qualcomm's ongoing infringements and protected the U.S. economy and the healthy, safe and benign competitive environment of consumers

in addition to infringing a number of patents of Broadcom, Qualcomm may also be sanctioned by the court for violating the patent publication regulations of the industry standard establishment agency and its seizure of 300000 pages of documents in a compressed video patent infringement case

heavy losses

for a long time, Broadcom has been providing a series of chip products, such as chips that can ensure compatibility with wireless Bluetooth headsets. However, Broadcom has been unable to emerge in the most important baseband chip market among components, because the market is firmly occupied by Texas Instruments and Qualcomm. However, all this will change now. Broadcom may have a place in the market with the victory of the lawsuit against Qualcomm

Qualcomm suffered heavy losses after the ban was issued. According to Reuters, the ban proposed by Broadcom may bring Qualcomm a loss of up to $2.4 billion in the next five years. Moreover, LG Electronics, Samsung, Motorola and other manufacturers have adopted Qualcomm chips. LG took the lead in expressing its strong dissatisfaction, and filed a complaint against it, demanding that the ban be revoked

according to a US website, LG will be the biggest victim of this ruling, because its 3G sales mainly depend on the US market. It is understood that LG's CDMA has always firmly occupied the first place in the U.S. market, controlling the market share of cdma1/4. According to IDC, since the fourth quarter of 2003, LG's CDMA has occupied the first place in the market share

it is prohibited to import Qualcomm chips, which will have a huge impact on Qualcomm's performance. In terms of recent sales share, 30% of sales in North America market adopt Qualcomm chips. It may take two years for Qualcomm to develop new technologies to avoid Broadcom patents

in view of the successive defeats in the patent lawsuit, Lu Rubin, Qualcomm's chief legal counsel, also announced his resignation on August 14, 2007. At the moment of his resignation, Qualcomm was involved in a legal dispute with its competitor Broadcom. Qualcomm spokesman claimed that Lu Rubin's resignation was due to personal reasons. Lu Rubin, 52, joined Qualcomm in 1995 and was promoted to chief counsel of Qualcomm in 2000. In this role, he led Qualcomm in establishing and protecting the licensing business of selling patented technologies to other companies

some analysts believe that the current mobile technology upgrading speed is very fast, and the ban will not have a long impact on mobile operators and terminal manufacturers, but it may still bring large economic losses in the short term

the only winner

Qualcomm basically laughs at the end of a patent lawsuit with others. Even if it wins, it ends in a draw. But in this lawsuit, it was Broadcom that won the last laugh

at present, LG Electronics is not the only company looking forward to the fundamental frequency chip of Broadcom. As the world's largest manufacturer, Nokia said in August2007 that it would replace the basic frequency chip of Broadcom in some parts. Moreover, many companies, including Samsung Electronics, palm and Panasonic, have begun to use Broadcom's baseband chips. Market analysts also said that Samsung Electronics' orders may increase. Analysts predict that with the increasing popularity of Broadcom baseband chips by manufacturers, the company's share in the baseband chip market will reach about 10-15% by the end of 2009

what makes Broadcom's baseband chip business grow rapidly from a market share of about 1%? For a company that has just entered the industry, Broadcom has expanded its baseband chip business through acquisition. More than 1000 engineers are engaged in the research and development of baseband chips in Broadcom, accounting for more than 23% of the company's total employees. This laid a foundation for the company to achieve rapid growth in the fundamental frequency chip business

however, the most important reason for Broadcom's emergence in the baseband chip market is that it won a lawsuit against Qualcomm. In the past few years, many manufacturers, including Nokia and Texas Instruments, have been suing Qualcomm for charging excessive patent fees, but Broadcom has only recently begun to benefit from them

currently, manufacturers around the world are looking forward to using the second or third-party baseband chips to continue selling products in the U.S. market after Qualcomm's patent lawsuit is lost. In response to the punishment decision of the US International Trade Commission, the mobile operator Verizon Wireless has begun to cooperate with Broadcom to mitigate the impact of patent litigation on the company's business. Market analysts believe that other mobile operators will follow suit and encourage manufacturers to provide products using Broadcom chips

however, Qualcomm and Ti are not worried about this. Terry yen, vice president of global marketing of Qualcomm, said, "our shipments have broken records for eight consecutive quarters. We do not think customers will avoid us. Qualcomm will not lose much market share."

if the result is like this, I believe time will give the answer

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