Qualcomm says ITC ruling won’t have ‘disruptive effect’

WASHINGTON-The United States International Trade Commission has ruled that Qualcomm Inc. has infringed on one of three patents held by rival Broadcom Corp., upholding the initial determination of an administrative law judge in Broadcom’s complaint against Qualcomm.
The ITC will decide on what remedy to impose in the case by Feb. 9, according to the case’s current schedule.
The patent infringement involves Qualcomm’s use of Broadcom’s method for conserving a handset’s battery power when it is out of network range.
Both sides took the opportunity to spin the news to their advantage, with a dash of venom.
“Qualcomm expects other companies to respect and pay dearly for the use of its intellectual property, but refuses to respect the intellectual property of others,” said David Dull, Broadcom’s general counsel. “The Commission’s decision is an important step toward leveling that lopsided view.”
Qualcomm’s general counsel also did a bit of chest-thumping.
“We are pleased that the ITC’s decision to leave undisturbed the ALJ’s (administrative law judge’s) conclusions that we have not infringed two of the three patents,” said Louis Lupin, Qualcomm’s general counsel. “Assuming the full Commission follows the well-reasoned recommendations of the ALJ as to remedies, the Commission’s order (on remedies) would not have a disruptive effect on Qualcomm’s business.”
Qualcomm indicated it would continue to challenge the ITC ruling in court and also said that the patent it infringed “is not fundamental to CDMA.” Thus, the company implied it could work around the disputed patent.
Qualcomm’s stock dipped on the news, while Broadcom shares gained slightly.