The Japan Fair Trade Commission has told Qualcomm Inc that it might investigate the licensing and chip business practices of its Japanese subsidiary.
The JFTC did not give Qualcomm an indication of the timing or identify of such an investigation, said the San Diego, California-based chipmaker.
The European Commission was recently reportedly intending to step up its investigation of Qualcomm’s rates for patent licenses for new mobile phone technology.
The company’s, which makes CDMA-based chips, has been accused of charging too much for licenses for its W-CDMA technology, also known as 3G, a more advanced standard than GSM.
Qualcomm said it would cooperate with the JFTC and claimed all Qualcomm Japan business activities were lawful and fostered competition.
The introduction of QUALCOMM’s CDMA technology into Japan was a key factor in driving competition for 2G cellular services and devices and in accelerating the uptake of 3G with its advanced features and capabilities, said Qualcomm president Steve Altman, in a statement.
Our business model of extensively licensing our technology has opened the 3G market to new players – driving competition, growth and innovation – and we have consistently offered the best, most advanced chipsets and software at competitive prices.
Qualcomm also is battling with chief rival Broadcom Corp in the US over alleged patent infringements. Each company is suing and countersuing the other.