Qualcomm slashed its profit expectations Friday by a third saying that Apple is refusing to pay royalties on technology used in the iPhone.

Apple sued Qualcomm earlier this year, saying that the San Diego chipmaker has abused its control over essential technology and charged excessive licensing fees. Qualcomm said Friday that Apple now says it won't pay any fees until the dispute is resolved.

Qualcomm said it will continue to vigorously defend itself in order to "receive fair value for our technological contributions to the industry."

Since Qualcomm said it will not receive royalties from Apple's contract manufacturers for sales during the quarter ended March 31, its forecast for the third fiscal quarter now excludes that revenue.

Qualcomm expects earnings per share between 75 and 85 cents for the April to June quarter. Its previous forecast was for earnings per share between 90 cents and $1.15.

Revenue is now expected to be between $4.8 billion and $5.6 billion, down from its previous forecast between $5.3 billion and $6.1 billion.