China’s top economic planner, the National Development and Reform Commission, said the huge fine it has slapped on Qualcomm for anti-competitive practices is not aimed at knocking down the company but to create a fair competitive platform for all firms.
“The China market will be more open in the future and we welcome enterprises from all over the world to invest and develop in China,” Xu Kunlin, head of the antitrust division of the powerful NDRC said at a press conference in Beijing on Tuesday.
Qualcomm, the world’s largest supplier of mobile chips, agreed to pay 6.088 billion yuan (US$975 million) fine to end a 14-month long government probe.
The United States-based company said on Tuesday that it has reached a resolution with NDRC regarding the investigation under China’s Anti-Monopoly Law.
“The NDRC has issued an Administrative Sanction Decision finding that Qualcomm has violated the AML,” a statement issued by the company said. “Qualcomm will not pursue further legal proceedings contesting the NDRC’s findings.”
“Qualcomm has agreed to implement a rectification plan that modifies certain of its business practices in China and that fully satisfies the requirements of the NDRC’s order. Although Qualcomm is disappointed with the results of the investigation, it is pleased that the NDRC has reviewed and approved the company’s rectification plan,” the Qualcomm statement said.
