Qualcomm's attorney in the trial against the U.S. Federal Trade Commission that kicked off on Friday presented data that show Qualcomm is not dominant in the world’s two biggest handset makers - Samsung and Huawei.
The two largest smart phone makers in the world supply a majority of their own modem chips to help their devices connect to wireless data networks, according to Bob Van Nest, an attorney representing Qualcomm in the case.
Van Nest said that Huawei internally sources 54 percent of the modem chips it puts in its devices and gets only 22 percent of its modems from Qualcomm, with the remainder coming from other unnamed makers. Samsung internally sources 52 percent of the modem chips it uses, with 38 percent from Qualcomm and the rest from other makers, according to Qualcomm's attorney.
Huawei and Samsung did not provide any comment.
The trial between the U.S. Federal Trade Commission and Qualcomm started on Friday in a federal courtroom in California, with FTC representatives arguing that Qualcomm engaged in anticompetitive patent licensing practices to preserve a monopoly on modem chips. The case is being closely watched because it may shed light on the likely eventual outcome of the global legal battle between Apple and Qualcomm.
Apple has alleged that Qualcomm engaged in illegal business practices, and Qualcomm in turn has alleged Apple violated its patents, scoring victories in China and Germany last month.
Qualcomm has argued its licensing practices follow long-established industry norms and that it charges broadly the same licensing rates that it had for many years before it ever started selling chips.
Apple depends on Intel and Qualcomm for modem chips, though the iPhones released in 2018 use Intel modems exclusively. But Apple is rumored to develop its own modem chip.