The company was ordered to renegotiate its licensing terms with phone manufacturers, and to be monitored for seven years, as a result of the ruling.
The decision was made based on a precedent regarding a ski company. FTC commissioner Christine Wilson believes the ruling was wrong and has stated that the ruling “radically expanded a company’s legal obligation to help its competitors” and was based on a flawed precedent.
The ruling judge believed that Qualcomm’s licensing practices prevented competition in the chip market, harmed rivals and phone manufacturers.
However, other experts say the ruling was reasoned and based on factual findings that appeals courts would not question, according to Reuters.
The ruling led to a $10 billion USD (about $13.5 billion CAD) decrease in Qualcomm’s value.
The company told Reuters that it believes “a thorough examination of the evidence and the proper interpretation of the law will result in a reversal by the 9th Circuit Court of Appeals.”
Qualcomm has requested to put the decision on hold and it begins its appeal process, but the ruling judge has not yet responded.