Approximately 29 million British iPhone and Samsung phone users could be due a collective £480m payout from Qualcomm if a legal claim against the U.S. chipmaker is successful.
The BBC reports that consumer watchdog Which? is suing the chipmaker for allegedly breaching UK competition law by taking advantage of its dominance in the patent licensing and chip markets. Which? alleges that Qualcomm charged both Apple and Samsung inflated 4G modem fees, which were then passed on to consumers in the form of higher prices for their smartphones.
Which? is seeking up to £30 each in damages for about 29 million people in the U.K. who own Apple or Samsung smartphones. The lawsuit covers smartphones that have been purchased since October 1, 2015. Which? has filed its legal claim with the Competition Appeal Tribunal, which will ultimately decide if it can go ahead. The lawsuit covers iPhone models from the iPhone 6s and 6s Plus and newer.
“We believe Qualcomm’s practices are anti-competitive and have so far taken around £480m from consumers’ pockets,” said Anabel Hoult, CEO of Which? “This needs to stop. We are sending a clear warning that if companies like Qualcomm indulge in manipulative practices which harm consumers, Which? is prepared to take action.”
Qualcomm said the lawsuit had “no basis.”
“As the plaintiffs are well aware, their claims were effectively put to rest last summer by a unanimous panel of judges at the Ninth Circuit Court of Appeals in the United States,” a spokesman told the BBC.
Qualcomm has in the past been hit with similar accusations of anticompetitive behaviors. A 2018 fine was leveled against Qualcomm by EU antitrust regulators, forcing it to pay a 997 million euro ($1.2 billion) fine for paying Apple to use its LTE chips in iOS devices.
