Jan 21, 2017

Apple follows FTC suit and sues Qualcomm

Raimond Spekking via Wikimedia Commons

The claims: As the WSJ reports, Apple seeks $1 billion in rebate payments from Qualcomm over claims that Qualcomm placed "onerous, unreasonable and costly" terms on Apple as a way to retaliate against Apple for cooperating with a South Korean anititrust probe into Qualcomm's licensing practices. The probe smacked a $583 million fine onto Qualcomm last month.

A damning nugget: Apple alleges that after they cooperated with the South Korean probe, Qualcomm "attempted to extort Apple into changing its responses and providing false information to the KFTC in exchange for Qualcomm's release of those payments." Qualcomm didn't immediately comment on the suit.

Join the club: This comes three days after the Federal Trade Commission announced its own law suit against Qualcomm alleging it made Apple exclusively use its chips in exchange for reducing the fees the iPhone maker pays Qualcomm for patent licenses.

Update:

  • Qualcomm's responds: EVP and General Counsel Don Rosenberg told Axios that Apple "has been actively encouraging regulatory attacks on Qualcomm's business in various jurisdictions around the world."
  • Apple's responts: Apple told Axios that to protect Qualcomm's "business scheme Qualcomm has taken increasingly radical steps, most recently withholding nearly $1B in payments from Apple as retaliation for responding truthfully to law enforcement agencies investigating them."

Go deeper

New York's coronavirus death toll hits record high for third straight day

799 people died from coronavirus in New York over the past 24 hours, a record high for the third straight day that brings the state's total death toll to 7,067.

Why it matters: Gov. Andrew Cuomo said at a press conference that social distancing is helping "flatten the curve" of coronavirus hospitalizations, and that deaths are a lagging indicator. Still, he called the death figures "shocking and painful," noting that the virus has killed more than double the number of people who died in New York on 9/11.

Coronavirus dashboard

Illustration: Aïda Amer/Axios

  1. Global: Total confirmed cases as of 11:30 a.m. ET: 1,503,900 — Total deaths: 89,931 — Total recoveries: 340,112Map.
  2. U.S.: Total confirmed cases as of 11:30 a.m. ET: 432,579 — Total deaths: 14,830 — Total recoveries: 24,213Map.
  3. Business: The Fed will lend up to $2.3 trillion — Another 6.6 million jobless claims were filed last week.
  4. Public health latest: Dr. Anthony Fauci said social distancing could reduce the U.S. death toll to 60,000.
  5. Travel update: TSA screened fewer than 100,000 people at airports in the U.S. on both Tuesday and Wednesday, compared to 2.2 million passengers on an average weekday a year ago.
  6. ☎️ Communication shift: Daily phone calls in the coronavirus era are outpacing Mother's Day.
  7. What should I do? Pets, moving and personal healthAnswers about the virus from Axios expertsWhat to know about social distancingQ&A: Minimizing your coronavirus risk.
  8. Other resources: CDC on how to avoid the virus, what to do if you get it.

Subscribe to Mike Allen's Axios AM to follow our coronavirus coverage each morning from your inbox.

Fed will lend up to $2.3 trillion amid coronavirus crisis

Fed Chairman Jerome Powell at a press conference in March. Photo: Eric Baradat/AFP via Getty Images

The Federal Reserve announced Thursday that it will support the coronavirus-hit economy with up to $2.3 trillion in loans to businesses, state and city governments — made possible in part by Treasury funds set aside in the government stimulus package.

Why it matters: The Fed has taken more action amid the coronavirus outbreak than it has in any other financial crisis in U.S. history in an effort to blunt the effects of the resulting economic shutdown.

DetailsArrowUpdated 2 hours ago - Economy & Business