Qualcomm filed a countersuit against Apple late Monday accusing the tech giant of making “false statements” and breaching several agreements between the two companies.
In counterclaims filed in a California Federal court late Monday, the chip giant charged that Apple misled regulators and misrepresented the performance of the company’s chips among other alleged abuses, in the $1 billion case over patents for the iPhone’s components.
Apple orchestrated a “global attack” that includes a $1 billion patent suit in California Federal court as well as litigation in China, the United Kingdom and Japan, Qualcomm charged in counterclaims filed in a California Federal court late Monday. Apple has presented itself as a “victim” in lawsuits, the chipmaker said, but the “wealthiest company in the world” is really just trying to cut costs related to patents through the courts.
“This tactic is familiar to those in the industry; Apple has previously accused its suppliers and rivals alike (such as Nokia (NOK) and Samsung (SSNLF) ) of unlawful monopolization when they have sought compensation for the use of their patents,” Qualcomm charged.
Apple also created trouble for Qualcomm with regulators such as the Korea Fair Trade Commission, Qualcomm charged, by making “false statements” to regulators and inducing others to stir the pot. “At a conference in Idaho during the summer of 2015, a top Apple executive encouraged Samsung to ‘get aggressive in asking the KFTC to continue to pursue Qualcomm, explaining that the KFTC investigation would be Samsung’s ‘best chance’ to try to force Qualcomm to change its licensing model,” Qualcomm alleged.
The Korea Fair Trade Commission imposed an $865 million fine against Qualcomm in December. Subsequently in January, the U.S. Federal Trade Commission charged Qualcomm with monopolizing smart phone chips.
Qualcomm also says that Apple essentially dumbed-down versions of the iPhone 7 to make Qualcomm chips look bad.
“Apple effectively chose to limit the performance of the Qualcomm-based iPhones by not taking advantage of the full potential speed of which Qualcomm’s modems are capable,” the chipmaker alleges. “Apple’s actions were intended to prevent consumers from realizing that iPhones containing Qualcomm chipsets performed far better than iPhones containing chipsets supplied by Intel (INTC) .”
Qualcomm shares were down 2.7% on Tuesday morning to $55, while Apple declined 1.4% to $141.15.