The Competition Commission of India (CCI) is to investigate Ericsson over alleged abuses of its dominant position in mobile technology following a complaint by Micromax, a handset maker.

Micromax complains that Ericsson has exploited its market strength by demanding unfair, discriminatory and exorbitant royalties for its GSM-related Standard Essential Patents [SEPs].

In its order, quoted by The Times of India, CCI said there is a “fit case for through investigation by the Director General into the allegations made by the informant [Micromax], and violations, if any, of the provisions of the Competition Act”.

The commission, according to the Indian newspaper, believes patent terms issued by Ericsson are contrary to the principle of FRAND (fair, reasonable and non-discriminatory).

In a statement, Ericsson confirmed that CCI had decided to start an in-depth investigation relating to the Indian Competition Act.

The Swedish supplier further points out that it sued Micromax in March 2013 for patent infringement in the Delhi High Court. (Micromax said it first received a notice from Ericsson in November 2009 for infringing essential GSM patents of the company).

Moreover, claims Ericsson,  “numerous attempts” had been made to sign a license agreement with Micromax on FRAND terms before it decided to sue.

Ericsson says it will fully cooperate with the authority in this investigation to reach a fair and reasonable conclusion.