China has imposed a fine the chipmaker Qualcomm for 6 billion Yuan, that is, US$975 million in a signal of anti-monopoly penalties, which have upset foreign organization.
US-based Qualcomm maltreated its dominance in wireless technology to charge producers with unjustly high licensing fees, a cabinet agency stated on Tuesday. China is the biggest manufacturer of mobile phones and other wireless machines in the world, and Beijing has criticized about the soaring prices of technology licenses.
China has started a series of anti-monopoly search over the previous two years against foreign car producers, technology providers, and other organizations in a clear effort to cut down prices.
Qualcomm, one of the largest producers of chips utilized in mobile phones, stated on Monday that it had also decided to modify many of its practices for licensing technology to Chinese organization. The organization, based in San Diego, California, articulated disappointment with the conclusion by the cabinet of Chinese national development and reform commission (NDRC), but stated it would not competition the matter.
The fine was the biggest imposed till date by Chinese authorities on an overseas corporation.
The NDRC stated Qualcomm rudely bundled unconnected licenses with mobile phone technology, forcing Chinese consumers to pay for licenses they did not require. The acts that Qualcomm did to remove or restrict market competition, hamper and slow down technological innovation and growth and harm the interests of consumers violate China’s anti-monopoly law.