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California and the West

Qualcomm Lawsuit Dismissed

September 01, 2006|From Bloomberg News

Qualcomm Inc., the world's second-biggest maker of mobile phone chips, won dismissal Thursday of an antitrust suit claiming that it stifled competition.

U.S. District Judge Mary Cooper dismissed a complaint filed by Broadcom Corp., a maker of chips for TV set-top boxes. The suit claimed that Qualcomm wrongly used its patents to expand market share for chips used in so-called third-generation, or 3G, phones that allow users to download music and use the Internet.

"Qualcomm's alleged conduct does not support claims for monopolization or attempted monopolization," Cooper wrote in a decision filed in U.S. District Court in Trenton, N.J.

The suit was part of a wider effort by Irvine-based Broadcom and other competitors to prevent San Diego-based Qualcomm from dominating the 3G chip market.

Cooper said Broadcom could amend its claims and seek to refile the complaint. Qualcomm spokesman Jeremy James had no comment. Broadcom spokesman Bill Blanning didn't return a message seeking comment.

Qualcomm holds 90% of the market for so-called CDMA chips, used in the U.S. by wireless carriers such as Verizon Wireless and Sprint Nextel Corp.

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