REGISTER | LOGIN
Breaking News
News & Analysis

China Deal Squeezes Royalty Cuts from Qualcomm

2/10/2015 10:15 AM EST
5 comments
More Related Links
View Comments: Newest First | Oldest First | Threaded View
escher
User Rank
Author
An offer they couldn't refuse
escher   2/11/2015 8:28:45 PM
NO RATINGS
Classic gangster tactics employed by the Chinese government. Not only do their design houses get discounts on their royalty payments, they also get Qualcomm to funnel business to their foundry cronies in SMIC. 

junko.yoshida
User Rank
Author
Re: Sigmatel
junko.yoshida   2/11/2015 12:59:21 AM
NO RATINGS
The only difference here is that it's China which has successfully squeezed the royalty cuts from Qualcomm, while Qualcomm -- instead of getting kicked out of China -- has found a way to still get some money from China.

junko.yoshida
User Rank
Author
Billions of sales
junko.yoshida   2/11/2015 12:54:35 AM
NO RATINGS
While I do worry about the potential double standard imposed on Chinese OEMs and non-Chinese vendors, as Digital Tech Consulting (Dallas) tweeted, "billions of sales is better than no sales" for Qualcomm. Agreed.

Bert22306
User Rank
Author
Size matters
Bert22306   2/10/2015 4:45:15 PM
NO RATINGS
That's the power a gymongous market like China can weild.

But I'm completely with you on this one:

Maybe so, but it's hard to imagine that Qualcomm's customers outside China will quietly acquiesce to a double standard.

Seems kind of strange for Qualcomm to be saying that this "requires no changes" outside of China. Depends on who you ask. Or put another way, "Oh sure, Qualcomm would say that."

baybal
User Rank
Author
Sigmatel
baybal   2/10/2015 3:42:11 PM
NO RATINGS
It reminds me of Sigmatel case when the company tried to squeeze money from Chinese licensees with a lawsuit and got kicked out of China as a result.

Like Us on Facebook
EE Times on Twitter
EE Times Twitter Feed