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Qualcomm fined US$975m in China antitrust probe

Company also agrees to cut royalty rates, hopes case closure to lift business prospects

Beijing

QUALCOMM Inc has agreed to pay a fine of US$975 million, the largest in China's corporate history, ending a 14-month government investigation into anti-competitive practices.

The deal - the details of which were first reported by Reuters on Monday - also requires Qualcomm to lower its royalty rates on patents used in China, likely helping local smartphone makers such as Xiaomi Technology and Huawei Technologies.

Qualcomm said the agreement removes a major source of concern for its investors, sending shares of the San Diego-based chipmaker up 2.8 per cent to US$69 in after-hours trading.

China's expanding high-speed 4G network is driving demand for smartphones with leading-edge technology,...

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