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VZW will offer new handsets Banned by ITC/Qualcomm ..

Discussion in 'Verizon Wireless Forum' started by MeatChicken, Jul 19, 2007.

  1. MeatChicken

    MeatChicken Senior Member
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    Broadcom and Verizon Wireless Enter into Licensing Agreement Allowing Verizon Wireless to Offer Cell Phones Banned by ITC; Companies Announce Broad-based Strategic Alliance
    Thursday July 19, 2:32 pm ET
    Verizon Wireless ceases efforts to overturn ITC ban on Qualcomm products


    IRVINE, Calif. and NEW YORK, July 19 /PRNewswire-FirstCall/ -- Broadcom Corporation (Nasdaq: BRCM - News) and Verizon Wireless, an affiliate of Verizon Communications Inc. (NYSE: VZ - News), today announced a licensing agreement that permits the continued importation and sale by Verizon Wireless of mobile devices that are the subject of the current litigation between Broadcom and Qualcomm Incorporated (Nasdaq: QCOM - News) before the U.S. International Trade Commission.


    The agreement allows Verizon Wireless, the largest wireless provider in the country by revenue, to sell new handsets and other wireless devices, ensuring the availability of the latest cell phone technology in handsets and personal digital assistants (PDAs) to consumers and businesses.
    Under the agreement, Verizon Wireless will make payments to Broadcom at a rate of $6.00 for each 1xEV-DO handset, PDA or data card sold after the effective date, subject to a maximum payment of $40 million per calendar quarter and a lifetime maximum payment of $200 million. The agreement provides Verizon a license to the six Broadcom patents currently being litigated between Broadcom and Qualcomm. Other terms and conditions of the agreement are confidential.

    As a result of the agreement, Verizon Wireless will also cease its efforts to overturn the ITC's recent order banning Qualcomm chips and certain cell phones based on those chips from importation, and will withdraw Verizon Wireless's motion to stay that same ITC remedy previously filed with the U.S. Court of Appeals for the Federal Circuit.

    "We are pleased to have worked out an agreement with Broadcom to ensure continued delivery of new and innovative products to our customers," said Lowell C. McAdam, President and Chief Executive Officer of Verizon Wireless. "A market-based solution, like the one our two companies have announced today, is the most effective way to resolve these kinds of intellectual property issues."
     
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    #1 MeatChicken, Jul 19, 2007
  2. Fire14

    Fire14 Easy,Cheap & Sleazy
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    It sounds like they came up with a good solution to get the phones to the customers & by pass Qualcomm on paying them these fees which I bet would have been $8 - $10.00 a handset vs the $6.00.

    Maybe they were starting to see where this was a dead issue with the Govt. & by time it was resolved they would have had a problem with handset availability.
     
    #2 Fire14, Jul 19, 2007
  3. Ellen

    Ellen Guest

    This is awesome news!!! Now Verizon will be able to sell the successor to the LG enV when it comes out. :cool:
     
    #3 Ellen, Jul 19, 2007
  4. cwt341

    cwt341 Junior Member
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    im completly lost on what this does for us as customers
     
    #4 cwt341, Jul 20, 2007
  5. Kalimotxo

    Kalimotxo Bronze Senior Member
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    Blah...Blah...Blah.... minimal impact on the consumer...
     
    #5 Kalimotxo, Jul 20, 2007
  6. Fire14

    Fire14 Easy,Cheap & Sleazy
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    Allows these phones with the 3G chips to be brought into the US for sale by Verizon now.

    Prior to this agreement, Any phones with the Qualcomm chips that had the Broadcomm technology on them were banned by the ITC to be imported.

    With Verizon signing an agreement with Broadcomm, the roalties have been paid to Broadcomm directly & now they can use these phones.
     
    #6 Fire14, Jul 20, 2007
  7. RJB

    RJB Gold Senior Member
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    Yeah if there was to be nothing done then you would not have many phones to choose from.
     
    #7 RJB, Jul 20, 2007
  8. VZW-LOVER

    VZW-LOVER Senior Member
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    :eek:
    What more have you heard about a new model?
     
    #8 VZW-LOVER, Jul 22, 2007
  9. SmArTeStChIlD421

    SmArTeStChIlD421 Silver Senior Member
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    so basically this means a wider selection of phones?
     
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    #9 SmArTeStChIlD421, Jul 28, 2007
  10. Fire14

    Fire14 Easy,Cheap & Sleazy
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    I doubt it, it just means that the manufactures can sell these handsets to Verizon since they made a deal with Broadcomm on the technology used in the Qualcomm chips.
    It has nothing to do with the phone selections at this time, just the chip technology.
     
    #10 Fire14, Jul 28, 2007
  11. SmArTeStChIlD421

    SmArTeStChIlD421 Silver Senior Member
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    but how will the change in chip technology effect the quality of the phones?
     
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    #11 SmArTeStChIlD421, Jul 29, 2007
  12. Fire14

    Fire14 Easy,Cheap & Sleazy
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    Have you been keeping up with the news on this at all?

    Basically Broadcomm sued Qualcomm for patent infringments & won, now the ITC will not allow any phones with Qualcomm chips into the US that have the 3 types of patents effected, so by Verizon signing a deal to pay Broadcomm, the phones can be sold to Verizon since they are paying for the patents that Qualcomm is not.

    Make sense?
     
    #12 Fire14, Jul 29, 2007
  13. SmArTeStChIlD421

    SmArTeStChIlD421 Silver Senior Member
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    ummm......sure? :lmao:
     
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    #13 SmArTeStChIlD421, Jul 30, 2007
  14. Fire14

    Fire14 Easy,Cheap & Sleazy
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    Ummm does that mean NO? or just a poor not knowing what to really say reply on your part?
     
    #14 Fire14, Jul 30, 2007
  15. SmArTeStChIlD421

    SmArTeStChIlD421 Silver Senior Member
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    i pretty much get that because Qualcomm infringed on patents now instead of Qualcomm selling the technology Broadcomm is selling it?
     
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    #15 SmArTeStChIlD421, Jul 30, 2007
  16. Fire14

    Fire14 Easy,Cheap & Sleazy
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    Basically it means that Qualcomm can sell the chips to the manufactures for Verizon phones only since they paid for the patent usage directly to Broadcomm. It also means these devices won't have to be held up from coming into the US for Verizon.

    It does get kind of twisted but basically Verizon went around the ITC to let these phones come in for them only.
     
    #16 Fire14, Jul 30, 2007
  17. SmArTeStChIlD421

    SmArTeStChIlD421 Silver Senior Member
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    oh okay...........so it wont really effect Verizons selecetion of phones.....???
     
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    #17 SmArTeStChIlD421, Jul 30, 2007
  18. Fire14

    Fire14 Easy,Cheap & Sleazy
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    It shouldn't now that they did this agreement with Broadcomm so that the roalities have been paid for the patents.

    Any other CDMA carrier will have a problem getting these 3G phones in, unless they go the same route as Verizon did.
     
    #18 Fire14, Jul 30, 2007
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