Day 2 of FTC v. Qualcomm: patent exhaustion; leveraging of chips in licensing negotiations; rival chipset makers

Friday, the first day of the FTC v. Qualcomm antitrust trial in the Northern District of California (San Jose, to be precise), couldn't have gone much better for the Federal Trade Commission. Today, Monday, the FTC made further headway, but to the extent that Qualcomm's lawyers had the chance to ask witnesses questions, they made the most out of that opportunity. If this weren't a bench trial in front of a judge who understands this industry and the issues involved so very well, but a jury trial, then Qualcomm would already have created enough confusion that anything could happen.Let me explain this in connection with a particularly important issue: the licensing of rival chipset makers (and Qualcomm's refusal to do so). Qualcomm's counsel presented MediaTek-internal documents and elicited testimony from MediaTek's Finbarr Moynihan that it was, at a certain time, standard industry practice that patent holders would not extend standard-essential…

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