A UK consumer lawsuit that accused Qualcomm of inflating smartphone prices has ended without any payment to buyers. The claim argued that patent licensing rules forced higher costs onto devices such as the iPhone and many Samsung models, but the consumer group decided to withdraw the case after reviewing how the tribunal was likely to rule.
The complaint represented about 29 million people who bought phones since 2015 and sought £480 million in compensation. It focused on Qualcomm’s policy that requires manufacturers to license its standard essential patents before purchasing chipsets, which critics said meant brands paid royalties even when they used alternative components.
According to Reuters, the British consumer association “Which?” reached an agreement to drop the lawsuit with no financial settlement. The group concluded the court would find that Qualcomm did not pressure manufacturers into unfair deals or increase handset prices.
Why the case ended
The dispute already went through a trial at the Competition Appeal Tribunal, but judges had not issued a final decision. After reviewing the evidence, Which? said it expected the tribunal to rule that the licensing model “did not infringe competition laws, did not result in inflated royalties, and did not lead to an increase in prices consumers paid for their mobile phones.”
Qualcomm welcomed the outcome and defended its business model. A spokesperson said, “This recognition by the class representative, following a trial on the merits, reaffirms what the courts in the United States have repeatedly held: Qualcomm’s licensing practices are lawful and do not harm competition.”
The case formed part of a broader history of legal tension between Qualcomm and major phone makers including Apple and Samsung Electronics. At the same time, Apple has begun shifting away from Qualcomm cellular modems and is moving toward its own in-house modem technology starting with newer iPhone models.
