On Monday, Apple and Qualcomm will face off in San Diego federal court, and Qualcomm will be forced to answer Apple’s accusations that its patent costs are unreasonable and its licensing terms are unfair.
But Apple says that Qualcomm has been able to charge more for these patents than it should have because the company is also the dominant supplier of smartphone modems.
In January 2017, Apple filed lawsuits across the US, UK, and China accusing Qualcomm of charging phone manufacturers “disproportionately high” fees for access to their patents.
Apple’s lawsuit over the remittances began the same month the US Federal Trade Commission announced a lawsuit of its own against Qualcomm’s patent practices.
That’s just a small part of the $7.50 Apple pays in total per iPhone for Qualcomm’s patents, but if the courts judge Qualcomm’s other patents to be similarly valuable, then Qualcomm could be emboldened to raise its prices further still, passing a hefty bill on to Apple.