Japan FTC Cancels Exclusion Order to U.S. Qualcomm

Society Politics

Tokyo, March 15 (Jiji Press)--Japan's Fair Trade Commission said Friday that it has decided to cancel its cease-and-desist order to U.S. semiconductor maker Qualcomm Inc. over patent license agreements with Japanese mobile phone makers.

The decision, issued Wednesday, is equivalent to a not guilty ruling in a criminal trial. Such a decision is unusual, FTC officials said, adding that it is the first time since 2012 that the commission has canceled a cease-and-desist order.

The agreements between Qualcomm and 14 Japanese makers of third-generation mobile phones allowed the U.S. company to use patents held by the Japanese firms free of charge and prohibited the makers from suing Qualcomm over the patents.

The focus was whether the agreements are considered unfair under the antimonopoly law.

In the latest decision, the FTC said that the agreements also allowed the Japanese firms to use patents held by Qualcomm, adding that this was not taken into account when the FTC issued the order.

[Copyright The Jiji Press, Ltd.]

Jiji Press