As reported by Mobile Syrup, after extended negotiations and a threatened lawsuit, Qualcomm and LG Electronics have entered a five-year agreement that allows LG to license Qualcomm’s patents to develop, manufacture, and sell 3G, 4G, and 5G devices.
LG terminated its licensing deal with Qualcomm in 2018 in order to negotiate better terms with its major smartphone chip supplier. Prior to the agreement, analysts suggested that a failure to reach a deal with Qualcomm could have “catastrophic” consequences for LG’s smartphone business.
The negotiated deal notably comes after Qualcomm settled a similar dispute with Apple through a new patent agreement, continuing to allow iPhones to use their modem chips.
Authors: Jaclyn Tilak and Zach Hershenfeld, 2019/2020 Articling Student-at-law
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