When it comes to complex business relations, it seems that both Apple Inc. (NASDAQ:AAPL), as well as Qualcomm Inc. (NASDAQ:QCOM), are the leaders. Qualcomm has announced that it will be continuing to ship out chip supplies for iPhones, despite the current legal war, which involves a lawsuit of $1 billion.
This bodes well for Apple, however, as in locations, such as the United States, often rivals are unable to support the technologies, which is integrated into iPhones, at least none do it as efficiently as Qualcomm.
More details about Qualcomm lawsuits
However, despite the companies continued partnership with Apple, when it comes to chips, the troubles are far from over. The original $1 billion lawsuits, was launched against Qualcomm by Apple on Friday. This is following a separate anti-trust investigation, placed on Qualcomm by the Fair Trade Commission.
However, despite the various claims that Qualcomm is currently aggravated with, the company is taking it all in stride. Those familiar with the matter have claimed that Qualcomm is considering filing a suit back at Apple, as well as diligently working on extracting a method to get the Apple case dismissed.
The lawsuit against Qualcomm is due to the company using misappropriate methods to gain and retain customers. Additionally, the suit claimed that Qualcomm was involved in extortion, price gouging, as well as a few other unsavory business practices.
The reason why Qualcomm won’t drop Apple and why Apple won’t drop Qualcomm
Although for some, it may make no sense, that while a legal war is in full force, with these two entities at the opposite side of the table, they sit the same side in daily operations, it is important to remember the positions of the company’s.
Apple won’t is able to drop Qualcomm easily, due to the necessity that the company has as a supplier over the tech giant. However, at the same time, Apple is one of the biggest clients for Qualcomm, and therefore losing them would be a significant hit on the company’s triple bottom line.
However, Qualcomm did retort to Apple’s claims, stating, “Apple is trying to turn a contract issue into a regulatory issue.”