Qualcomm Prefers Patent Infringement Case against Meizu in China

Qualcomm Incorporated (NASDAQ: QCOM) revealed that it filed patent infringement case against Meizu for infringing its patents involving a wide range of features, as well as, technologies used in smartphones. That included in connection with 3G (WCDMA and CDMA2000) and 4G (LTE) wireless communications standards. According to the company, the complaints were filed in in Beijing and Shanghai's Intellectual Property Courts.Qualcomm VP and general counsel, Don Rosenberg, commented, "Meizu has refused to engage in good-faith negotiations despite admitting that it sells products that infringe Qualcomm's valuable Chinese patents."He added, "Meizu is attempting to obtain an unfair and improper cost advantage over its competitors. Regrettably, we must turn to court actions in order to protect our rights, and importantly, to maintain fairness and a level playing field for the more than 100 Chinese companies that are respectful of patent rights and have entered into license agreements in conformance with the resolution reached by Qualcomm with the NDRC."The American chip-maker said that it negotiated in good faith with Meizu for over a year to sign a patent license agreement in line with the terms of the rectification plan submitted by it and accepted by China's National Development and Reform Commission (NDRC) in 2015. The company pointed out that over 100 other Chinese firms have accepted the rectification plan terms. However, the company blamed Meizu for refusing to engage in good faith negotiations with it and instead opted in delaying tactics.In the pre-market trading on Thursday, the stock traded 1.69 percent down.