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The Silicon Review Asia

Huawei will soon start charging a nominal fee as royalties from companies like Samsung and Apple

Huawei will soon start charging a nominal fee as royalties from companies like Samsung and Apple

Huawei Technologies, a popular Telecommunications equipment company, has recently made an announcement that it would soon start charging a reasonable fee from other tech giants like Apple Inc. for using its wireless 5G patents. This new revenue stream is expected to add immense value to Huawei and show its lead in the next-gen networking technologies. Very soon, the owners of Huawei are expected to negotiate a rate for licensing its 5G patents with Samsung and iPhone makers. Song Liuping, Chief Legal Officer of Huawei, has stated that the company wants to get paid even though it is blocked in the US with no supply chain.

The networking giant has made it clear that the new charges would be lesser than its rivals like Nokia Oyj, Qualcomm Inc., and Ericsson AB. Huawei is expected to make almost $1.2 to 1.3 billion in licensing and patent fees along with that, and it will charge close to $2.5 per phone in royalties. Huawei is one of the biggest tech manufacturers in China, and now it wants to make a statement in the global arena with its patent as the field is evolving quickly with smart homes, robotic surgery, and connected cars. Ding is certain that price negotiations would be very flexible on various 5G products, and it would include everything from smart cars to water meters.


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