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UPDATE 1-Qualcomm disputes Japan regulator's draft order

Thu Aug 13, 2009 12:22pm EDT

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* Qualcomm disputes draft order by Japan regulator

Japan

* Qualcomm says to submit written response within 2 weeks

NEW YORK, Aug 13 (Reuters) - Qualcomm Inc (QCOM.O) said on Thursday it was disputing claims by Japanese anti-trust regulators that the company forced customers in the country to accept unfair licensing provisions.

Japan's Fair Trade Commission (FTC) had sent Qualcomm a draft order saying it illegally pressured Japanese handset makers to agree to cross-license patents on a royalty-free basis, and agree to not assert patents against each other.

"Qualcomm naturally disputes the notion that any provisions in our license agreements with Japanese companies were forced upon them," the company said in a statement, adding that it plans to submit a written response opposing the draft order within the next two weeks.

Sources had previously told Reuters that agreements under scrutiny included those with Japanese handset makers such as NEC Corp (6701.T), Panasonic Corp (6752.T) and Sharp Corp (6753.T). (Reporting by Ritsuko Ando; editing by Gunna Dickson)



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