Qualcomm accuses Apple of sharing 'unprecedented access' to chip code with Intel

Bloomberg reports that Qualcomm (NASDAQ:QCOM) filed a new lawsuit against Apple (NASDAQ:AAPL) yesterday accusing the iPhone maker of using its chip software access to benefit Intel (NASDAQ:INTC).

Apple then made a decision to stop making licensing payments to Qualcomm, which led to a massive drop in revenue for Qualcomm. In addition, says Qualcomm, Apple requested proprietary information from Qualcomm and included an engineer from a competitor (read, Intel) in the email distribution list. In response Qualcomm is seeking to stop Apple from making and selling its smartphones in China.

The chip maker's latest move takes the form of a lawsuit that was submitted to the California state court in San Diego on Wednesday and hit the news cycle this morning.




However, Apple has now cut off those payments, costing Qualcomm an estimated $2 billion a year in revenue. Qualcomm reckons that Apple used this access to help Intel in its quest to compete in the LTE modem market. The suit alleges breach of contract over the software needed to make Qualcomm's chips work with various iPhone components and provide network communications. Apple has accused its chip supplier of unfairly charging companies for using products from other manufacturers. In a Reuters reports, sources confirm that this is the case and that the devices that will not feature any of Qualcomm's components will be released as early as 2018.

It's already attempted to in the past, as the iPhone 7 and iPhone 7 Plus carried both Intel and Qualcomm chips, as did this year's iPhone 8 and iPhone 8 Plus. One of the most recent legal developments is between Qualcomm and Apple, where another lawsuit has surfaced as part of an ongoing fight between the two.

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