Qualcomm Faces European Competition Probe over Claims of Predatory Pricing.The European Union Competition Chief said: " We are launching these investigations because we want to be sure that high-tech supplies can compete on the merits of their products" Qualcomm responded that the claims were "without merit". On similar grounds, Qualcomm was fined in China for a bit below one billion dollars. Please, read this article:Qualcomm Faces Scrutiny over AntytrustAllegations.Hint: To answer the following questions you may consider Parkin pages 234, 235, 325, and 355

q.In most places, in the market for baseband processors Qualcomm's market share is about two thirds. Does this mean that Qualcomm could charge arbitrarily high prices?Hint: see game on page 355 of the book.

No, the threat of new entrants limits the price.

Yes.