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Android Businesses Technology

LG's 5G Phones in Doubt as Chip Deal With Qualcomm Set To Expire (reuters.com) 23

Sales of LG's new 5G smartphone looked uncertain this week after the firm said it was unable to narrow differences with Qualcomm to renew a chip license deal that is due to expire this month. From a report: In a U.S. court filing late on Tuesday, the South Korean firm opposed Qualcomm's efforts to put a sweeping U.S. antitrust decision against it on hold, arguing setting the ruling aside could force it into signing another unfair deal. "If Qualcomm does not participate in negotiations with LGE in accordance with the Court's Order, LGE will have no option but to conclude license and chipset supply agreements once again on Qualcomm's terms," LG's filing in the federal court in San Jose, California said. The lack of clarity over a new license deal raises concerns over the rollout of LG's newly launched 5G smartphones, crucial for the loss-making handset maker to boost flagging smartphone sales and catch up with Samsung.
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LG's 5G Phones in Doubt as Chip Deal With Qualcomm Set To Expire

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  • Smart business tactic: Price yourself out of the market! Brilliant!

    • But they are the monopoly on mobile phone standards, thanks to the way companies like Nokia, Ericsson, Freescale et al have all bombed out. That's the problem: Qualcomm became the standard by default, and is therefore now doing what any company does: protecting its bottom line. As someone who worked in the semiconductor business and saw how both the Chinese and the Koreans would beat us down in ASPs, I don't blame Qualcomm for holding their line. Particularly if LG doesn't want to pay anything extra for
      • by jimbo ( 1370 )

        Protecting your bottom line by being expensive is normal. QC seems to have gingerly slipped into something worse than that. They keep customers in an iron grip, selling them products while double or triple dipping on patent licenses from both the customer and their manufacturing partners, et al. They have been found in violation of FRAND in several countries since 2016 and there may be a US ruling (or not) to similar effect coming up, unless we see some sort of boring settlement.

        There's every indication tha

  • whether or not Qualcomm's tech created the industry it will be the one to destroy it - or at least fragment it as others implement tech to new Qualcomm-free standards.

    What we need is a "5G" competitor that seeks to extend WiFi usage instead. We already have gigabit capability via WiFi. My phone uses it today and transitions smoothly between mobile and WiFi or from one WiFi to the next. The 5G leaders have already admitted they will only ever fully serve urban areas. We just need for the cable providers to g

    • by jimbo ( 1370 )

      Yes, mmWave 5G (>24GHz) will probably only be seen in densely populated areas. However 5G protocols and equipment encompass the entire spectrum and offer benefits at 700MHz as well as mmWave.

      That's not to say you're wrong about the benefits of WiFi, just that properly implemented 5G will offer better channel management and more dynamic bandwidth allocation on any band.

  • An LG spokesperson clarified, that the court situation does not affect supplies of Qualcomm chips to LG. Source. [androidauthority.com]

    Therefore, the 'concerns about rollout' is speculation (IMO) by an analyst whose assertion got a signal boost from Reuters.

    Any possible delay — which is just a rumour — could be attributed to a thorough testing of hardware and software.

    Judge Lucy Koh ruled, that Qualcomm has had onerous prices for use of its patents, and that Qualcomm should 'sign new patent licensing deals wi

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