Broadcom protests Qualcomm's request for a presidential veto on ITC chip ban
By Colleen Taylor, Contributing Editor -- EDN, July 5, 2007
As Qualcomm Inc. continues to pursue a presidential veto of an International Trade Commission (ITC) ruling that threatens to ban the importation of a number of its chips, communications semiconductor maker Broadcom Corp. today urged the Bush administration not to overturn the ITC's ban.
Broadcom, which owns the patents that the chips in question have allegedly infringed, said today that a veto would weaken U.S. efforts to strengthen intellectual property (IP) rights globally.
"In this case, the Administration faces one of the most critical decisions on trade policy in recent years," David A. Dull, Broadcom's senior VP and general counsel, said in a statement. "Overturning the ITC's remedy for Qualcomm's patent infringement would ultimately make it more difficult for U.S. companies to defend their IP rights and complicate the Administration's IP policy initiatives. Policymakers around the world are watching this decision closely to ascertain its implications for a wide range of sensitive trade issues involving IP rights."
"Leaving the ITC order and remedy intact would also promote a level playing field that would foster competition, innovation and growth," Dull added.
Last year, an ITC administrative law judge, and later the commission itself, found that certain Qualcomm's cellular baseband chips infringe five claims of U.S. Patent No. 6,714,983, which belongs to Broadcom and relates generally to power conservation in cellular phones. On June 7, the six-member commission issued its final determination on remedy for Qualcomm's infringement and ordered that certain Qualcomm chips, and future downstream products such as cellular phones that incorporate those chips, that infringe the Broadcom patent be barred from importation into the U.S.
Claiming that the measure "will limit consumer choice and access to mobile broadband services, be harmful to operators, manufacturers and the economy, and pose risks to public safety communications," Qualcomm quickly fought back and asked the federal circuit court of appeals to stay enforcement of the ITC's order. However, its stay request has been denied. Qualcomm has taken its quest further by asking President Bush to veto the ITC's decision.
President Bush has designated U.S. Trade Representative Susan C. Schwab to review the ITC action and make the decision on whether to allow the ITC order to stand or to disapprove it. The 60-day presidential review period ends August 6.
