A PYMNTS Company

US: Apple stops payments to Qualcomm amid lawsuit

 |  April 30, 2017

Qualcomm said revenue in its fiscal third quarter ending June will be $4.8 billion to $5.6 billion, down from last week’s prediction of $5.3 billion to $6.1 billion.

    Get the Full Story

    Complete the form to unlock this article and enjoy unlimited free access to all PYMNTS content — no additional logins required.

    yesSubscribe to our daily newsletter, PYMNTS Today.

    By completing this form, you agree to receive marketing communications from PYMNTS and to the sharing of your information with our sponsor, if applicable, in accordance with our Privacy Policy and Terms and Conditions.

    The world’s largest publicly-traded technology company and one of the main suppliers of components to the iPhone, its most important product, have traded accusations of lying, making threats and trying to create an illegal monopoly. The fight involves billions of dollars of technology licensing revenue that, if permanently cut off or reduced, would damage Qualcomm’s main source of profit and help bolster Apple’s margins.

    Apple told Qualcomm it will stop paying licensing revenue to contract manufacturers of the iPhone, the mechanism by which it has paid the chipmaker since the best-selling smartphone debuted in 2007, the San Diego, California-based company said in a statement. Qualcomm removed any assumption it will get those fees from its forecast for the current period. Apple doesn’t have a direct license with Qualcomm, unlike other phone makers.

    Full Content: Bloomberg

    Want more news? Subscribe to CPI’s free daily newsletter for more headlines and updates on antitrust developments around the world.