Broadcom sues Qualcomm, charging anticompetitive behavior

Tuesday, July 5th 2005, 10:19 am

By: News On 6

IRVINE, Calif. (AP) _ Broadband semiconductor maker Broadcom Corp. on Tuesday said it has filed a lawsuit against Qualcomm Inc., charging the wireless technology company with violating domestic antitrust laws.

Broadcom said its complaint centered on Qualcomm's licensing and other practices related to cellular technology and products. The complaint is the latest in a series of legal challenges brought by Broadcom against Qualcomm, which licenses CDMA, a widely used cell phone technology.

Broadcom said Qualcomm's monopoly in CDMA technology has resulted in higher domestic cell phone prices, and its lawsuit is aimed at preventing high prices on the next generation of so-called ``3-G'' cell phones.

In particular, Broadcom alleged Qualcomm's licensing deals violate its agreement to provide fair licensing terms that are part of telecommunications industry standards. It also claimed Qualcomm charged discriminatory royalties, and engaged in exclusionary and anticompetitive practices in supplying cell phone technology and chipsets.

A Qualcomm spokesman was not immediately available to comment.

Broadcom said it was seeking monetary damages and a court order barring the alleged unfair business practices. The complaint was filed in U.S. District Court in New Jersey, the company said.

Broadcom has already filed two patent lawsuits against Qualcomm. The U.S. International Trade Commission is also looking into whether Qualcomm engaged in unfair trade practices by importing chips and other products that infringe on Broadcom patents.