The long drawn out battle between Micromax and Ericsson, wherein the latter had sued the Indian smartphone vendor for allegedly infringing patents, has taken a new twist. The Competition Commission of India (CCI) is set to investigate the matter over allegations that Ericsson has charged Micromax too much, IBNLive reports. Also Read - Micromax In 2b, In 2c in the works: Listed on Geekbench ahead of launch
Micromax has filed a complaint to the CCI that Ericsson has used its position of power to impose exorbitant royalty rates” on Micromax. Instead of basing the royalties on the value of the patents, Ericsson is said to have based them on the price of the phone, which makes them much higher.
To recap on the events, earlier this year Ericsson had sued Micromax for Rs 100 crore in Delhi High Court for infringing patents related to 3G, GSM and EDGE technologies. The infringed patents are part of what are called standards-essential patents and holders are expected to license them on Free Reasonable and Non-Discriminatory (FRAND) terms. The disputed handsets in the case included Micromax s Ninja, Funbook talk and Canvas 2 products. Though Micromax was keen on negotiating a FRAND license with Ericsson, the companies could not come to a suitable conclusion.