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Qualcomm Monday confirmed reports that it has agreed to a $975 million settlement and rectification plan with Chinese regulators over monopoly allegations. 

According to a press release, Qualcomm has agreed to implement a rectification plan that modifies certain of its business practices in China and that fully satisfies the requirements of the National Development and Reform Commission's (NDRC) order. 

In a statement, Qualcomm said it was disappointed with the results of the investigation but added that the company was pleased that the NDRC has reviewed and approved the rectification plan. 

As part of the plan, Qualcomm agreed to a number of conditions about how it licenses its essential patents to Chinese companies. Qualcomm said it "will offer licenses to its current 3G and 4G essential Chinese patents separately from licenses to its other patents and it will provide patent lists during the negotiation process. If Qualcomm seeks a cross license from a Chinese licensee as part of such offer, it will negotiate with the licensee in good faith and provide fair consideration for such rights."

Derek Aberle, president of Qualcomm, said in a statement that the company is glad to have the matter behind it. 

"We appreciate the NDRC's acknowledgment of the value and importance of Qualcomm's technology and many contributions to China, and look forward to its future support of our business in China," Aberle said. 

Concurrent with today's announcement, Qualcomm updated its financial guidance for its fiscal year, which ends in Septemeber of 2015. 

Qualcomm now estimates revenues to be $26.3 billion to $28.0 billion compared to prior guidance range of $26.0 billion to $28.0 billion. GAAP diluted earnings per share are now estimated to be $3.56 to $3.76 (which includes an approximately $975 million charge, or $0.58 per share, related to the fine imposed by the NDRC), compared to prior guidance range of $4.04 to $4.34.

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