December 19, 2024

Qualcomm's Relationship With Apple May Have Broken Down Over Software Access

Posted January 18, 2019 at 8:58pm by iClarified · 7688 views
Leaked emails between Qualcomm and Apple suggest that the relationship between the two companies may have broken down due to a disagreement over software access, reports Bloomberg.

Billions of dollars in chip supply deals involving Apple and Qualcomm may have actually collapsed over a squabble about software access, rather than the patent fees that sparked a bitter legal battle between the two technology giants, according to the emails seen by Bloomberg.

Qualcomm accused Apple of using its code to help Intel develop its modem technology, something Apple COO Jeff Williams denied was even possible.

"In my wildest imagination of some evil intention of Apple, I have trouble coming up with a real scenario where anything of significant value could be leaked based on this code," Williams wrote in September 2017.

Williams offered to "firewall" engineers using the software and attempted to convince Qualcomm to continue supplying Apple with modems through the licensing dispute.

"I just hope the licensing dispute doesn’t cloud good judgment in the team on a massive business opportunity," said Williams, noting that Apple would order around $2 billion worth of modems from Qualcomm for 2018. "I was hoping to keep some decent quantity of business flowing with hopes that the licensing stuff will get solved."

Qualcomm CEO Steve Mollenkopf told Williams that the software issue was "independent of our license dispute" and offered to provide software access in return for a commitment that Apple would use its modems in at least 50% of iPhones over two years.

In the end, a deal was not reached between the two companies and in November 2017 Qualcomm sued Apple alleging that it had breached the terms of its software license and used its unprecedented access to that code to help Intel.

More details in the full report linked below...

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