Antitrust law shouldn’t be used to settle patent disputes, DOJ Antitrust Chief Makan Delrahim said Thursday amid Qualcomm’s antitrust appeal against the FTC (see 1905220035). Antitrust remedies aren’t the proper tools for settling fair, reasonable and nondiscriminatory (FRAND) terms disputes, he told the Organisation for European Economic Cooperation in Paris. Delrahim didn’t directly mention Qualcomm. Relief through contract law is the correct route for deciding proper FRAND interpretations, he said. “Sophisticated commercial parties often view FRAND commitments as a cost-control mechanism” but a more troubling trend is implementers using FRAND “as a source of leverage to demand subcompetitive royalty rates from the owners of patents for new technologies, under threat of litigation,” he said.

"Secondary impacts” of the third U.S. tranche of tariffs on Chinese products to customers of Texas Instruments “is very difficult to measure,” said Vice President-Investor Relations Dave Pahl. “Do we think tariffs are bad thing and do they ultimately destroy demand? Economic theory says it does. So that’s not something that we’re big fans of.” TI's "direct impact is real easy to measure, and it's a number very close to zero," Pahl told a Bank of America Merrill Lynch investor conference Tuesday. U.S. trade law for the semiconductor industry defines country of origin “pretty much” by where products are “assembled and tested,” said Pahl. “We do have assembly test operations in China,” plus a half-dozen other “assembly test sites,” mostly in Asia, so "we can move things around,” he said. The chipmaker hypothetically could move assembly and test operations completely out of China, “given enough time and energy,” Pahl said. “But I don’t think we’d want to. China continues to be an important market.” VTech Communications, which bills itself as “the major supplier” of cordless phones and baby monitors in the U.S., is “hearing” from its big retail customers “that they will pass along the costs directly to consumers” if the Trump administration makes good its threat to impose 25 percent List 4 tariffs on Chinese goods not previously dutied, commented the vendor Tuesday in docket USTR-2019-0004. “This will mean additional financial burden to many low to middle income family households” in the U.S. that “still rely on the corded or cordless telephone as their primary device for communication,” it said. Best Buy and Walmart are among VTech's biggest retail customers, and say 25 percent tariffs would mean price increases (see 1905230038). Wednesday, the Office of the U.S. Trade Representative extended by two weeks to June 15 the deadline when List 3 goods can enter the U.S. at the former 10 percent duty rate if they were already on the water when the tariff increase to 25 percent took effect May 10.

Comments are due June 6 on a Neodron Tariff Act Section 337 complaint at the International Trade Commission, seeking a ban on imports of touch-controlled smartphones, tablets and computers that allegedly infringe its patents, said Wednesday's Federal Register. The Ireland-based company alleges Amazon, Dell, HP, Lenovo, Microsoft, Motorola and Samsung are importing mobile devices that infringe its patented technologies for capacitive touch sensors. Thursday, those companies didn't comment. Neodron seeks a limited exclusion order and cease and desist orders banning importation and sale of infringing devices.

The International Trade Commission is investigating Rovi allegations of patent infringements involving various Comcast set-top boxes, broadband gateways and related hardware and software including remote controls and interactive program guides, it said Thursday. Comcast didn't comment Friday.

The Commerce Department Bureau of Industry and Security added five new national security-related technologies to the export administration regulations’ commerce control list, said a Thursday notice in the Federal Register. The additions stem from changes made to the Wassenaar Arrangement’s list of dual-use goods and technologies agreed to during a 2018 plenary meeting, BIS said. The changes add “recently developed or developing technologies” that are “essential” to U.S. national security: “discrete microwave transistors,” “continuity of operation software,” “post-quantum cryptography,” “underwater transducers designed to operate as hydrophones” and “air-launch platforms.” The changes took effect Thursday. Shipments “on dock for loading, on lighter, laden aboard an exporting carrier, or en route aboard a carrier” to a foreign destination on or before Thursday may proceed to the destination.

The Office of the U.S. Trade Representative launches a product exclusion process for the third tranche of tariffed Chinese goods "on or around June 30," the agency said in Tuesday's Federal Register. USTR requested OMB expedited approval for an information collection for the exclusion process that was announced as part of a May 10 tariff increase (see 1905070036).

The Trump administration's decision to examine emerging technologies as candidates for export controls could cost U.S. businesses tens of billions of dollars and threaten thousands of jobs, the Information Technology & Innovation Foundation reported, in an email Monday. If substantial export controls are enacted, ITIF said firms “could lose $14.1 billion to $56.3 billion in export sales over five years." The Commerce Department Bureau of Industry and Security seeks to expand export controls to technologies that are or may soon be essential to national security but aren't export-regulated. A Nov. 19 Federal Register notice sought feedback from companies on “identifying emerging technologies,” including products such as artificial intelligence and machine learning technology." ITIF warned of the harm that it said could result if Commerce defines “an overly restrictive set” of technologies, saying that could “significantly impede competitiveness of certain U.S. industries and stifle their “output, exports and employment growth.”

The U.S. and China “intend to continue further discussions,” said the Office of the U.S. Trade Representative in Friday's Federal Register. That notice proposed the 25 percent tariffs on $300 billion in Chinese goods not previously dutied. Requests to appear at hearings on the proposed duties are due June 10 in docket USTR–2019–0004 at regulations.gov, and written comments are due June 17, the same day the hearings are set to begin. Post-hearing rebuttal comments are due seven days after the hearings end. Presidents Donald Trump and Xi Jinping “have maintained contact through various means,” said a Chinese Foreign Ministry spokesperson at a Beijing news conference Friday about media reports suggesting new U.S.-China trade talks were off the table for now.

U.S.-China trade talks “put Alibaba on the right side of all the issues on the table,” said Executive Vice Chairman Joseph Tsai on a fiscal Q4 earnings call Wednesday. Calling the trade war the big “elephant in the room,” Tsai spoke as if a comprehensive trade accord was already done. China’s “commitment to purchase more American products” means it will become a “net importing country,” reducing the U.S.-Chinese trade imbalance, he said. The Chinese e-commerce giant is "not concerned about slowing China exports affecting GDP growth because the Chinese economy is shifting from an export economy to a domestic consumption economy,” he said. "The middle class in China has reached critical mass of over 300 million, almost as large as the entire U.S. population," said Tsai. "The middle class will double in the next 10 years, especially from the lesser-developed Chinese cities. While total Chinese domestic consumption is $5.5 trillion today, consumption from these third-, fourth-, and fifth-tier cities, with a combined population of 500 million people, will triple from $2.3 trillion to nearly $7 trillion in the next 10 years." China in recent years also has made "significant improvements in reducing" intellectual-property theft, as it "moves closer to global norms in protecting and paying for foreign IP," he said. Any trade accord with the U.S. will help further that goal, he said. “The vexing issues in the trade negotiations will resolve themselves, as the Chinese economy is already evolving to close the gap between the interests of the United States and China.”

The Copyright Office Friday extended the deadline for comment to May 31 on a revised draft of its compendium's third edition, from Wednesday. The document provides “expert guidance” on CO institutional practices and related principles of law.