After losing a significant part of its sales in the smartphone segment due to American sanctions and the activities of competitors, the Chinese company Huawei Technologies remembered that it has a large number of patents in this area and began to exploit this potential monetize. Another cross-licensing deal was recently concluded with the Chinese company Xiaomi.
About this, as already mentioned Reuters, Huawei Technologies officially announced this week, traditionally reticent to comment on the financial side of the deal. The new technology cross-licensing agreement with Xiaomi applies to all countries and at the same time resolves all previous disagreements between the two Chinese companies in the area of patent law.
In March this year, Chinese media reported that Huawei had filed a lawsuit against Xiaomi, accusing the competitor of illegally using four patented technologies related to data transmission technologies in wireless networks, image processing by smartphone cameras and methods of locking the screen of mobile devices.
Huawei has recently become more active in building relationships with companies that use its technologies. Agreements have been signed with Oppo, Samsung Electronics and Ericsson. Of course, Huawei itself is also a licensee compared to other companies, but last year Huawei collected $560 million in royalties for its benefit, and the payments from its side fell below this amount as the company began to produce fewer products .