Broadcom snags former Qualcomm customers

By Justin Mann on July 19, 2007, 9:10 PM
After pounding Qualcomm in court over patent disputes, Broadcom has been looking for ways to make up for their supposed losses due to Qualcomm's infringement. They are going straight to the source, seeking to latch on to one of Qualcomm's largest customers, Verizon.

Verizon has entered into a deal with Broadcom in which they will be paying royalties to them for many devices, including any that have certain Qualcomm 3G chips inside. The royalty is fairly high, at $6 per unit, but it has a cap of $200 million. By the same token, it gives Verizon breathing room, not having to worry about any “litigation” regarding Broadcom patents.

The entire goal of this for Verizon, of course, is to avoid having to pull any products from the shelves or delay putting any products into market.




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