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Qualcomm, Inc. (NASDAQ:QCOM) Terms Settlement Talks of Tim Cook, CEO of Apple Inc. (NASDAQ:AAPL), Misleading

Qualcomm, Inc. (NASDAQ:QCOM) responded to the comments of Tim Cook, CEO of Apple Inc. (NASDAQ:AAPL), those settlement talks are consistent. Whatever, Tim Cook said in an interview to CNBC about the settlement are misleading.

When the host Jim Cramer raised a question “Qualcomm announced the victories against Apple for the patent issues related to modems in Germany and China, Do you agree for the settlement with Qualcomm” to Cook in an interview on Tuesday. Cook responded that Apple has not involved in any settlement talks with Qualcomm since Q3, 2018. He said he is not sure where the news emanated.

In November 2018, Steve Mollenkopf, Chief Executive Officer of Qualcomm, said both Apple and Qualcomm are committed to resolving the disputes. According to Qualcomm, Tim Cook misinterpreted the remarks of Steve, and the company still maintains that settlement talks are accurate. CEO of Qualcomm told both Apple and Qualcomm are at the doorstep of finding a settlement.

Cook is disputing the marketing tactics of Qualcomm that no chips are provided without a license.  It is illegal. Both the firms have been fighting with lawsuits for several years.

The spokesman of Qualcomm has said both the firms had held discussions for the past 18 months at various venues to find a resolution to the patent issues. It will be solved either through a settlement or a court decision shortly.

The recent tussle will not have any impact on the outcome of the legal battle between the tech giants. However, it highlights entrenched positions and high stakes of each side. The trial between the tech giants will begin in April 2019.

Apples accuse Qualcomm of higher taxes on iPhones

Apple is arguing that Qualcomm is charging higher taxes on its iPhones. At the same time, Qualcomm is fighting to safeguard the patent licensing model on modems that ensure wireless connectivity to the phones. The modems allow billions of users get connected to the wireless network and enjoy a host of benefits.

Apple says Qualcomm is using illegal patent issues to maintain a dominant position in the modem chips market. On the other hand, Qualcomm said it is as per the decade-old industry norms. According to Qualcomm, it has not received adequate compensation from Apple for using intellectual property.

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