LONDON, Feb 17 - Which? has moved to withdraw a high-profile competition lawsuit in London that had alleged Qualcomm improperly used its market position to force Apple and Samsung to accept inflated royalty payments. The British consumer association brought the claim on behalf of roughly 29 million people who bought iPhones or Samsung handsets since 2015.
The group had sought what it said could amount to as much as 480 million pounds in compensation. At a trial held last year, Which? argued Qualcomm pursued a worldwide "no licence, no chips" policy that required Apple and Samsung to pay royalties even when Qualcomm chips were not used in particular devices.
Qualcomm disputed that characterisation, saying its long-standing policy requires manufacturers to obtain licences for its standard essential patents in advance of purchasing chipsets. The company said the lawsuit misrepresented that requirement.
Before the Competition Appeal Tribunal issued any ruling following the trial, Which? said it would apply to withdraw the claim after reaching an arrangement under which Qualcomm will make no payment to the claimant class. In announcing the withdrawal, Which? said it had concluded Qualcomm’s conduct "did not infringe competition laws, did not result in inflated royalties, and did not lead to an increase in prices consumers paid for their mobile phones."
A Qualcomm spokesperson commented: "This recognition by the class representative, following a trial on the merits, reaffirms what the courts in the United States have repeatedly held: Qualcomm’s licensing practices are lawful and do not harm competition."
The move ends the U.K. civil action brought on behalf of millions of handset buyers without any award to the claimant class and without a final tribunal ruling on the substantive merits of the case. Which? and Qualcomm reached terms that lead to withdrawal rather than payment or a tribunal decision.
Currency conversion cited in related reporting showed $1 = 0.7362 pounds.