The agreement, which puts China at the forefront of communications, is signed by two of the country’s largest companies: Huawei And Xiaomi.
What is the agreement about?:
According to Huawei’s statement, this is a global patent cross-licensing agreement with Xiaomi Inc. 1810.HK. The deal covers communications technologies, including 5G, and marks the resolution of a patent licensing dispute between the two firms, he said.
In March, local Chinese media reported that Huawei had sued Xiaomi for alleged infringement of four registered patents, mainly related to wireless technology, smartphone photography and screen lock technology.
Huawei also has patent licensing agreements with other technology players such as Oppo and South Korean company Samsung (005930.KS). Last month it renewed a similar agreement with Ericsson (ERICb.ST).
With the revenue from these patents, Huawei is able to continue spending on research and development, which is key to keeping up in the industry.
Source: Digital Trends
