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Apple Sues Major Supplier Of iPhone Chips

SAN FRANCISCO (CBS/AP) -- Apple is suing mobile chip maker Qualcomm for $1 billion in a patent fight pitting the iPhone maker against one of its major suppliers.

The complaint filed Friday in a San Diego federal court depicts Qualcomm as a monopolist abusing its power in a key segment of the mobile chip market to extort royalties for iPhone innovations that have nothing to do with Qualcomm's technology.

Apple says it has been cooperating with government regulators who have been investigating Qualcomm's business practices, prompting Qualcomm to retaliate by withholding about $1 billion in scheduled payments.

Qualcomm didn't immediately respond to requests for comment.

Apple launched its legal attack three days after the Federal Trade Commission filed a lawsuit alleging Qualcomm has been imposing unfair licensing terms on manufacturers.

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