Huawei, Xiaomi To Resolve Patent Dispute With Cross-Licensing Agreement
Huawei Technologies has signed a global patent cross-licensing agreement with Xiaomi. The deal, announced on Wednesday, covers communication technologies including 5G and puts an end to a patent licensing dispute between the two firms.
According to a Reuters report, Huawei has sued Xiaomi for allegedly infringing on four of its registered patents related to wireless communication technology, smartphone photography and screen lock technology. However, with the new agreement, the dispute has now been resolved.
This is not the first time Huawei has entered into a patent license agreement with another company. The company has existing deals with Oppo and Samsung, both major players in the industry. In fact, Huawei recently renewed its agreement with Ericsson, further solidifying its position in the market.
Despite facing challenges in recent times due to declining handset sales, Huawei's intellectual property portfolio remains strong. In July, the company revealed that it received USD 560 million in royalty revenues in 2022 alone, and that it had earned more than it paid out in royalties over the past two years. This suggests that Huawei's focus on research and development, as well as its commitment to protecting its intellectual property, continues to pay off.
The agreement with Xiaomi is significant not only because it resolves a legal dispute but also because it highlights Huawei's willingness to collaborate with other companies in the industry. By sharing its technology and expertise, Huawei can drive its revenue despite setbacks in product sales.
(Inputs from Reuters)
