Date
16 December 2017
After settling an anti-trust case with Beijing, Qualcomm is now aiming to build stronger relationships with Chinese smartphone makers. Photo: Bloomberg
After settling an anti-trust case with Beijing, Qualcomm is now aiming to build stronger relationships with Chinese smartphone makers. Photo: Bloomberg

Qualcomm to help Chinese smartphone makers sell abroad

Chip maker Qualcomm Inc. has launched a unit to help Chinese smartphone makers sell overseas, the Wall Street Journal reported.

The move is part of the US firm’s efforts to build stronger ties in China at a time when Beijing is trying to reduce its reliance on foreign makers of chips and other technology, the paper said.

Qualcomm draws about half of its revenue from customers in China, but the company has run into a series of challenges there including a drawn-out antitrust case.

In February, the company announced a settlement that included a US$975 million antitrust fine and a reduction of royalty rates on handsets sold in China. 

Following the settlement with the government, more customers in China have shown willingness to sign licensing agreements, according to Qualcomm.

To build stronger relationships in the country, the company is now stepping up efforts to attract Chinese smartphone makers that are seeking to build global businesses, the report said.

As part of the strategy, Qualcomm established a globalization office in Shenzhen last quarter to help mainland smartphone makers connect with overseas markets, Jeff Lorbeck, senior vice president of Qualcomm China, told the Journal. 

“One of the things we are doing that is new is a significant refocusing of our efforts on supporting our Chinese customers to export out of China,” he was quoted as saying in an interview.

The company also is trying to be more public about its partnerships and investments in China after the antitrust case, Lorbeck said. 

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FL/RC

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