Qualcomm up in arms against Meizu in China

Chipset major Qualcomm has filed a complaint against phone company Meizu in the Beijing Intellectual Property Court.

Meizu, with 1,000 employees and 600 retail store outlets, has presence in markets in China, Hong Kong, Russia, Israel and Ukraine, according to its website.

The US-based Qualcomm approached the Chinese court to get the local smartphone maker to agree upon the licensing terms for patents that the company had agreed with the Chinese government last year.

The company said on Friday that they filed at the Beijing Intellectual Property Court for a ruling that the terms of a patent license offered to Meizu comply with China’s Anti-Monopoly Law, and are in line with the U.S. company’s “fair, reasonable and non-discriminatory licensing obligations.”

Even after the top 100 Chinese phone makers are agreeing on the terms under a new rectification plan along with China’s National Development and Reform Commission (NDRC) last year, Qualcomm has put forth the allegation that Meizu in Zhuhai is refusing to sign the patent agreement.

Qualcomm has previously paid a $975 million fine to the Chinese authorities for alleged monopolistic business practices related to its patent licensing business alongside the promise of modifying its business practices.

NDRC had been keeping a watch on Qualcomm for allegedly engaging in possible anti-competitive behavior by overcharging device makers in the country.

The charges state that Meizo has been expanding its business through the use of Qualcomm’s technology innovations, without compensating to the company for the use of Qualcomm’s technologies.

Meizu did not immediately comment on the court complaint.

“Meizu’s move to use the technologies without a license was also unfair to other licensees.

Apple is also facing legal issues in China. Its iPhone 6 and iPhone 6 Plus may face a potential sales ban in the country. A Beijing intellectual property office ruled that the iPhone 6 and iPhone 6 Plus infringe a design patent held by device maker Shenzhen Baili.

Vina Krishnan
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