Huawei is gearing up to push for more revenue on 5G patents despite bans on its technology from countries including the US and Australia.
The Chinese tech giant, which owns the world’s largest portfolio of 5G patents, has indicated it will seek licencing deals with companies including Apple and Samsung for the use of its IP.
According to Jason Ding, Head of Huawei’s Intellectual Property Rights Department, the company expects to make around $1.2 to $1.3 billion USD from patents between 2019 and 2021. He also said that Huawei intends to provide a “reasonable percentage royalty rate” of the selling price of each multi-mode 5G smartphone, with a $2.50 USD cap per unit.
Jason Ding, Huawei.
“Huawei has been the largest technical contributor to 5G standards, and follows fair, reasonable and non-discriminatory (FRAND) principles when it comes to patent licencing.
“We hope that the royalty rate we announced today will increase 5G adoption by giving 5G implementers a more transparent cost structure that will inform their investment decisions moving forward,” he said.
Huawei’s 5G technology has been banned in numerous countries around the world due to security fears, including in four of the “Five Eyes” nations (Australia, New Zealand, the US, and the UK; only Canada has yet to implement a ban).
