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Support for Investigation Into Claims Regarding Qualcomm 3G Licensing Practices |
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| 7
November , 2005 |
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“It is to no one’s benefit—including Qualcomm’s—to have this uncertainty,” said Rob Conway, CEO and board member of the GSM Association (GSMA). The Complainants (Broadcom, Ericsson, NEC, Nokia, Panasonic Mobile Communications and Texas Instruments) claim in their press release that Qualcomm is preventing other mobile phone chipset manufacturers from competing fairly in the market by the refusing to licence essential patents to potential chipset competitors on fair, reasonable and non-discriminatory terms and by offering favourable royalty rates to customers of handsets that buy chipsets exclusively from Qualcomm. These suppliers also claim that Qualcomm has been charging excessive and disproportionate royalties for its ‘essential’ W-CDMA patents. “While we in no way pass judgment on the merits of these allegations as that is for the Commission, nevertheless these are troubling claims coming from leading suppliers in our industry,” said Conway. “Indeed, as key buyers and distributors of W-CDMA network equipment, mobile phones and related products, the operator members of the GSMA are understandably concerned by these allegations. “Therefore, in the best interests of all parties concerned, operators, suppliers - including Qualcomm - and ultimately users, we urge a prompt investigation and adjudication of these claims by the Commission,” said Conway. “We stand ready to cooperate with the Commission in its handling of this matter, and look forward to Qualcomm, the complainants and others in the industry cooperating fully to find a way forward that results in a meaningful outcome to the benefit of all.” “The very fact that these claims were filed by so many major suppliers may suggest some confusion and uncertainty regarding the standards setting and licensing process,” said Conway. “The Commission has already been reviewing the standards setting and licensing process as it relates to ETSI (European Telecommunications Standards Institute). We would therefore urge the Commission to use this occasion to add clarity and certainty to this process, not only for 3G but for future generations of technology.” The GSMA fully supports an IPR licensing process based on open standards and licensing on fair, reasonable and nondiscriminatory terms as this is central to a dynamic industry environment of innovation and competition. These fundamental principles foster clarity and certainty for the industry based on fair competition, which in turn results in greater choice and value for users. “The GSM
standard has flourished under these principles,” said Conway.
“As one of the greatest examples of international cooperation,
the industry eco-system comprises many thousands of suppliers to almost
700 networks serving more than 1.6 billion users today,” said
Conway. |
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US
: Following a call by a group of major suppliers for a European Commission
investigation into alleged anti-competitive behaviour by Qualcomm,
relating to essential patents for the global 3G mobile phone standard
W-CDMA (or 3GSM), the GSM Association said such claims should be thoroughly
and expeditiously investigated by the Commission so that there is
prompt resolution and clarity for the benefit of all concerned in
the mobile industry.