Qualcomm has rejected a settlement offer from Broadcom. Under the terms of the offer, Broadcom would have accepted a royalty payment of $6 per phone affected by the recent patent litigation lost by Qualcomm. That payment roughly equals 2 to 2.5% of the final cost of each phone. Qualcomm is still pursuing a presidential veto to overturn the ban the ITC has placed against it from importing certain new cell phone chips into the U.S. Qualcomm and Sprint have indicated that they are working on a software patch to bypass the patent issue, which relates to how 3G handsets conserve battery power.