Various government agencies have filed complaints or lawsuits against large tech companies in recent years. However, keep in mind that it was not common in 2017. This is what made the US FTC’s decision to file an antitrust lawsuit against Qualcomm a watershed moment. In fact, he was one of the factors that contributed to the spread of these investigations.
Qualcomm’s antitrust lawsuit has been dropped.
The FTC initially won in 2019 but lost on appeal the following year. The FTC, however, decided not to pursue the case further this year, instead of filing a reconsideration application. As a result, the organization permitted Qualcomm’s practices to continue. In 2019, a federal judge in the United States ruled in favour of the FTC, finding Qualcomm guilty of abusing its dominant position to extract excessive royalties from its clients. There was a long list of these, which included nearly every smartphone manufacturer. While Qualcomm is best known for producing and selling mobile processors, it makes the most money from licencing intellectual property rights, and its business model is unlicensed – no processors!, which was one of the main arguments against him.
A three-person panel of the Court of Appeal, however, overturned the ruling, arguing that the actions were perfectly legal. If Qualcomm had not won this appeal, it would have been forced to change its lucrative business model. The FTC has stated that it does not agree with the ruling but will not pursue the case.