Qualcomm rejects Broadcom''s $6 per phone offer

Chip designer Broadcom yesterday said that rival Qualcomm Inc had rejected its offer to settle a patent dispute over wireless chip technology with a $6 royalty fee for each mobile phone affected.

The two companies have been locked in lawsuits over wireless chip technology.

Late last year the US International Trade Commission (ITC) found that Qualcomm had infringed on a Broadcom power management patent that helps save battery life when a mobile phone cannot find a wireless signal.

Following its findings and hearings, ITC banned imports of new mobile phones and PDAs made with Qualcomm 3G semiconductors into the US earlier this month, though it did not order the removal of handsets already on shop shelves.

The ban would affect At&T, SprintNextel and Verizon Wireless phones use Qualcomm chips. Verizon said it had asked a federal court to block the commission''s order, and that it was also calling on the White House to veto the ruling.