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Huawei demands a billion from Verizon

by on13 June 2019


You are using 230 of our patents while your government is trying our patience

Huawei has told Verizon Communications Inc that the US carrier should pay licensing fees for more than 230 of the Chinese telecoms equipment maker’s patents and in aggregate is seeking more than $1 billion.

Verizon should pay to “solve the patent licensing issue”, a Huawei intellectual property licensing executive said.

The patents cover network equipment for more than 20 of the company’s vendors including major US tech firms but those vendors would indemnify Verizon, the person said. Some of those firms have been approached directly by Huawei, the person said.

The patents in question range from core network equipment, wireline infrastructure to internet-of-things technology, the Wall Street Journal reported. The licensing fees for the more than 230 patents sought is more than $1 billion, the person said.

The licensing fee demand may be more about the trade war between China and the United States rather than a demand for patent fees.

Huawei and Verizon representatives met in New York last week to discuss some of the patents at issue and whether Verizon is using equipment from other companies that could infringe on Huawei patents.

Verizon spokesman Rich Young said that these issues are larger than just Verizon. Given the broader geopolitical context, any issue involving Huawei has implications for our entire industry and also raise national and international concerns.

 

Last modified on 13 June 2019
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