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Qualcomm and the US Government's Patent System Grant Qualcomm a Monopoly
Qualcomm capitalized on narrow time windows in technology development, notably during the shift from 2G to 3G, highlighting the importance of timely innovation. Their licensing business model generates predictable, high-margin revenue that supports robust research and development (R&D) efforts, creating a positive feedback loop that enhances both product offerings and intellectual property (IP) assets. The US patent system has granted Qualcomm significant market power, effectively establishing a monopoly by allowing them to capture considerable value and entrench their position. This regulatory framework raises questions about the efficacy of the patent system in fostering innovation versus its potential for abuse. The complex trajectory of Qualcomm's success appears reliant not just on chance but on a competent team that strategically navigated pivotal moments, suggesting that extraordinary achievements can sometimes stem from a well-orchestrated execution rather than mere luck.