Qualcomm hit with $1.2 billion fine by the EU for paying Apple to use its chipsQualcomm found to be in violation of EU antitrust laws by making 'significant payments to Apple.'
Things aren't looking good for Qualcomm. The European Commission has levied a €997 million ($1.23 billion) fine against Qualcomm for "abusing its market dominance in LTE baseband chipsets." The regulator found that Qualcomm violated EU antitrust laws by making "significant payments to Apple" on the condition that it would exclusively use Qualcomm chipsets in iPhones and iPads.
By doing so, the EU regulator alleged that Qualcomm shut out its rivals from competing effectively, enabling the chip vendor to solidify its position as the market leader. From the EU ruling:
In 2011, Qualcomm signed an agreement with Apple, committing to make significant payments to Apple on condition that the company would exclusively use Qualcomm chipsets in its "iPhone" and "iPad" devices. In 2013, the term of the agreement was extended to the end of 2016.
The agreement made clear that Qualcom...
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Qualcomm hit with $1.2 billion fine by the EU for paying Apple to use its chips
