Certain Baseband Processor Chips and Chipsets (Broadcom v. Qualcomm) (Inv. No. 337-TA-543)
Investigation No. 337-TA-543 – “Broadcom v. Qualcomm” (Certain Baseband Processor Chips and Chipsets, Transmitter and Receiver (Radio) Chips, Power Control Chips, and Products Containing Same, Including Cellular Telephone Handsets)
Following a 60-day veto review period, the George W. Bush administration let stand the June 7, 2007 International Trade Commission (ITC) Section 337 ruling regarding “Broadcom v. Qualcomm.” Broadcom had sought relief against Qualcomm for patent infringement on mobile phone chips, and the June ruling had barred importation into the U.S. of the chips and future model cellular phones containing them. The chips in question are contained in third generation (3G) wireless handsets that offer multimedia features and faster Web browsing.
Analysis Group Managing Principal Carla S. Mulhern and academic affiliate William H. Lehr, former Associate Director of the MIT Research Program on Internet and Telecoms Convergence, provided expert testimony before the ITC on economic issues related to whether an exclusion order should cover not only the infringing chips, but also the mobile devices incorporating those chips. Analysis Group teams led by Principal David Sosa and Vice President Robin Heider provided research and analytical support to Ms. Mulhern, Dr. Lehr, and Keker & Van Nest, Broadcom’s counsel in the matter.
Broadcom and Qualcomm reached a settlement and patent agreement in April 2009. Under the settlement, Qualcomm agreed to pay Broadcom $891 million over a period of four years ($200 million in the quarter ending June 30, 2009). The agreement also resulted in the “dismissal with prejudice of all litigation between the companies, including all patent infringement claims in the International Trade Commission and U.S. District Court in Santa Ana, as well as the withdrawal by Broadcom of its complaints to the European Commission and the Korea Fair Trade Commission,” according to a joint press release issued by the parties.