Qualcomm earns a significant percentage of its profits by licensing patents to mobile technology manufacturers. The Commission's preliminary conclusions allege that, since 2011, Qualcomm has made unlawful payments to a major smartphone and tablet manufacturer in exchange for the assurance that the company would exclusively use Qualcomm baseband chipsets in its smartphones and tablets. The Commission claims that this conduct has reduced the manufacturer's incentives to source chipsets from Qualcomm's competitors and, thus, has harmed competition and innovation in the markets for these products.