Published: Sat, December 15, 2018
Tech | By Anita Cain

Apple Says China iPhone Ban Would Force Settlement With Qualcomm

Apple Says China iPhone Ban Would Force Settlement With Qualcomm

On Friday, Apple said it will push out a software update for its Chinese users early next week, to address functions covered by the patents in question.

For now, Qualcomm believes the ban is already in force, but all models of iPhone remain available to purchase in China.

The two patents these smartphones infringe cover how users adjust and reformat photos and how apps are managed using a phone's touch screen.

Apple admitted that if it can not avoid the Chinese sales ban, it will be forced to settle with Qualcomm.

The two USA companies are locked in a global dispute over licensing fees that Qualcomm charges for use of technology that the chip maker says underpins all modern phone systems.

The chipmaker claims it is out billions of dollars of royalties from Apple's suppliers while the hardware giant warns of major disruptions to mobile phone makers who could be subject to a costly licensing regime if Qualcomm gets its way.

It's been a couple of days since the court in China has banned the sale of old iPhones.

Now, however, it appears that Apple has an elegant solution for the issue - a software update. Qualcomm has even fought back by going after Apple's manufacturing partners for continuing to produce iPhones that are said to be in violation of patents. According to the report from Bloomberg, Qualcomm has asked for sales ban for Apple iPhones XS and iPhone XR post winning preliminary injunction against older models.

The Chinese court's ruling handed an initial victory to Qualcomm, which is locked in a worldwide dispute with Apple over the licensing fees it charges for the use of technology that underpins all modern phone systems.

Tax losses would also be caused to the government, Apple says, as it pays millions in feeds for the devices it sells in the country.

Like Apple, Chinese smartphone makers had argued for years that Qualcomm - which owns a swathe of patents essential to modern wireless communications - is abusing its position and levying punitive fees.

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