Qualcomm's appeal against €242M antitrust fine dismissed by EU court
What's the story
Tech giant Qualcomm's attempt to overturn a European Union (EU) antitrust penalty, was dismissed by the General Court today.
The case revolves around the company's pricing strategies for mobile phone chipsets.
The EU had imposed a €242 million fine on Qualcomm in 2019, accusing it of "predatory pricing" aimed at eliminating competition in the market.
Accusation
EU court accused Qualcomm of abusing market dominance
The General Court upheld the majority of the €242 million fine imposed on Qualcomm by the EU.
The European Commission, which serves as the executive branch and primary antitrust enforcer for the 27-nation bloc, had accused Qualcomm of abusing its market dominance in 3G baseband chipsets.
The commission alleged that Qualcomm sold these chipsets below production cost, to force start-up Icera out of business a decade ago.
Reduction
Court rejects Qualcomm's arguments, reduces fine slightly
The court stated that after reviewing Qualcomm's arguments, it was "rejecting them all in their entirety," except for the company's claim that the commission did not adhere to guidelines when determining the fine.
As a result of this accepted plea, the court has slightly reduced the fine to €238.7 million.
This decision marks a significant development in the ongoing legal battle between Qualcomm and EU regulators.
Fine
Commission had also fined Qualcomm $1.23B for bribery
In a separate incident, the European Commission had fined Qualcomm $1.23 billion after concluding that it bribed Apple to stifle competition. However, following an appeal by Qualcomm, the General Court overturned the decision in 2022.