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ALJ Rules in Favor of Qualcomm in Patent Infringement Case Against Apple at the US International Trade Commission

SAN DIEGO - Qualcomm Incorporated (Nasdaq: QCOM) announced in a press release that ITC Administrative Law Judge MaryJoan McNamara issued a Notice of Issuance of Initial Determination (ID) on Violation of Section 337 in ITC Investigation No. 337-TA-1093 finding that Qualcomm’s US Patent No. 8,063,674 (‘674) is valid and infringed by Apple. Judge McNamara indicated she will recommend that the Commission issue a Limited Exclusion Order barring the importation of infringing products  into the United States, and a Cease and Desist Order barring Apple from making further sales in the United States of infringing Apple products that have already been imported and to halt the marketing, advertising, demonstration, warehousing of inventory for distribution and use of those imported products in the United States. Her complete recommendation on remedy is forthcoming.
 
“We are pleased that [today] ITC Judge McNamara found that Apple-designed processors infringe our ‘674 patent and will be recommending an import ban and cease and desist order to the Commission,” said Don Rosenberg, executive vice president and general counsel for Qualcomm. “The innovations we contribute to the iPhone extend well beyond a single component and Judge McNamara’s decision, along with recent infringement rulings in other US and foreign courts, affirm the value of our technologies.”
 
The ‘674 patent, found to be infringed by Apple, improves power management in processor circuitry to reduce power consumption and improve battery life in mobile devices. Qualcomm accused circuitry in the Apple-designed A10, A11 and A12 application processors used widely in Apple devices, including in iPhones from the iPhone 7 through the most recently released models.
 
Judge McNamara’s ID and recommendation on remedy will be considered by the full Commission and a Final Determination is expected by July 26, 2019.
 
Also, the US ITC issued a Notice of Final Determination in ITC Investigation No. 337-TA-1065. The Commission’s decision is inconsistent with the recent unanimous jury verdict finding infringement of the same patent after Apple abandoned its invalidity defense at the end of trial. We will seek reconsideration by the Commission in view of the jury verdict.
 
In the past six months, courts in China and Germany have ruled that Apple is infringing additional Qualcomm non-standard essential patents and issued injunctions on infringing devices.