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We have to ask the court of appeal for the justification in the COMMISSION’s antitrust case

(Reuters) – Qualcomm Inc’s (QCOM.O) on Thursday a U.S. court of appeals to reverse a ruling that it had abused its position as a giant in the industry of semi-conductor and overload, smartphone makers have access to the patented technology.

FILE PHOTO: a Qualcomm sign is pictured at the Mobile World Congress (mobile world CONGRESS), Shanghai, China, 28th June, 2019 at the latest. (REUTERS photo/Aly Song, File/Photo

The San Francisco-based U.S. 9th Circuit Court of Appeals will hear oral arguments in a closely watched antitrust case with the U.S. Federal Trade Commission has brought against Qualcomm at the beginning of 2017, during the final days of the former President, Barack Obama.

The three-judge panel hearing the arguments, it will probably take a few months to issue their decision to make, but it can give an indication on Thursday of what they can and will prevail.

San Diego, Calif. – based Qualcomm, which supplies modem chips to connect to phones and other devices for wireless data networks, the address a May-2019 decision of the lower court in favor of the competition regulator.

In that decision, the U. s. District Judge Lucy Koh said: “Qualcomm’s patent licensing practices have had a “period of competition” and harm consumers. The 9th Circuit put the Koh’s ruling, as they are of the opinion We have of an occupation.

In an unusual move, an attorney for the U.S. Department of Justice will argue in support of Qualcomm on Thursday’s hearing.

The Ministry of Justice of the shares custody of the united states antitrust laws with the FTC. The two agencies have no such public differences of opinion, said Jonathan Rubin, an antitrust lawyer at the MoginRubin.

In addition to dominating on the modem-chip market, the Qualcomm generates billions of dollars annually in licensing to an extensive portfolio of patents on wireless technology. Some of Qualcomm’s patents are essential to industry standards, and the company has agreed to license to the other players in the industry on fair and reasonable terms and conditions.

In the FTC’s civil lawsuit accused Qualcomm of using its profitable stock of patents to bolster its chip business because it didn’t have a license for them to be a rival chip vendors, to deny them the right to intellectual property as are necessary for the creation of a competitive chip. Instead, the FTC alleged, I have forced the phone makers to announce a license agreement for the patent rights, to refuse to sell its own chips, without a valid license is in place.

Judge Koh ruling in favor of the FTC would have to force Qualcomm to license its patents to competitors, such as Taiwan-based MediaTek Inc. (2454.WATER) and to negotiate licensing agreements with handset makers.

The FTC’s case was aided by Apple Inc (AAPL.(O), which is submitted to its own U.S. antitrust case against Qualcomm. The two companies have established themselves in this case in April 2019, after two years of bitter legal battles.

Report by john Wolfe, and Stephen Nellis; Editing by Dan Grebler

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