Recently, a federal judge of the U.S. District Court for the
Middle District of Florida overturned an earlier verdict of a $173
million patent infringement charge against
) by wireless chipset designer ParkerVision Inc. In 2011,
ParkerVision claimed that Qualcomm had violated its patents
associated with the conversion mechanism of electromagnetic signals
from higher frequencies to lower frequencies.
The technical advantage of this technology is that receivers of
mobile phone and tablet will become smaller, more power efficient
and highly effective. Qualcomm has denied the charges brought
against it. The federal judge ruled out that ParkerVision's
litigation has insufficient evidence of patent infringement.
However, the judge also rejected Qualcomm's appeal to rule the
patent invalid. ParkerVision has decided to seek a review of the
Qualcomm is the largest baseband chipset developer for mobile
handsets globally. The company's chips are used in
) iOS software,
) Windows Phone operating systems and
) developed Android software, especially Samsung's Galaxy series of
mobile gadgets. Qualcomm currently carries a Zacks Rank #2
Notably, there are several pending litigation cases relating to
infringement of patent rights against Qualcomm throughout the
world. The company is facing an anti-monopoly investigation by the
National Development and Reform Commission (NDRC), the regulatory
authority of China. The company stated that it is not aware of any
activity that violates the anti-monopoly law in China and will
continue to cooperate with the NDRC. Losing these pending cases
will considerably pressurize the company's cash flow.
ParkerVision has two patent litigation cases against Qualcomm.
The first one, which was recently overturned by a federal judge, is
related to the technology used in $4 chipsets. However, the second
case involves a more complex technology which includes patents
related to the technology of mobile device's information sharing
with a wireless tower. This technology costs $20 or more per mobile
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