Qualcomm faces China probe

The Chinese government is conducting an investigation of chipmaker Qualcomm relating to a possible breach of the country’s anti-monopoly law.

China’s National Development and Reform Commission (NDRC) commenced the investigation and stated that the substance of the investigation is confidential. Qualcomm said that it is not aware of any charge by the NDRC that it has violated the anti-monopoly law.

“We will continue to cooperate with the NDRC as it conducts its confidential investigation,” the chipmaker said in statement.

News of the investigation comes just days after Qualcomm announced that it has added support for China’s BeiDou navigation satellite system to its solutions. The vendor said that using BeiDou will enhance location precision in smartphones and tablets in China and globally. The vendor is collaborating with Korean device maker Samsung to launch the first wave of BeiDou enhanced consumer smartphones.

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In October this year, Qualcomm appointed former US ambassador to China Clark Randt to its Board of Directors, as the firm looks to expand its footprint in China. Randt served as ambassador to China between 2001 and 2009, and brings more than 30 years of experience as a diplomat, attorney and businessman with a comprehensive understanding of Chinese industries and businesses to Qualcomm.

“As China remains a key emerging region, his extensive background in working with China’s government and businesses will provide invaluable insight to Qualcomm’s board as we look to further expand the company’s footprint in the country’s rapidly growing and evolving wireless ecosystem,” Dr. Paul E. Jacobs, chairman and CEO of Qualcomm said at the time.

Meanwhile, China is gearing up to launch LTE services with China Mobile expected to launch its 4G service on the December 18 with a new brand, He, according to the Xinhua news agency.