In a statement issued by Mr. Song Liuping, Huawei's Chief Legal Officer, the company revealed its royalty rates for its patent license programs concerning handsets, Wi-Fi, and IoT technologies.
Mr. Liuping emphasized Huawei's commitment to sharing cutting-edge innovations through patents to support global industry development.
At the annual flagship event on innovation and intellectual property protection in Shenzhen, with the theme “Bridging Horizons of Innovations: Sharing IP, Driving Innovation,” experts presented various technologies applicable in different areas, including 5.5G, audio, video, and mobile phone features like ten-size adjustable apertures.
Huawei has been a significant contributor to mainstream ICT standards over the past 20 years.
Huawei aims to license its standard essential patents (SEPs) on fair, reasonable, and non-discriminatory (FRAND) principles. During the event, the company announced the following royalty rates:
- 4G and 5G handsets: US$1.5 per unit and US$2.5 per unit, respectively.
- Wi-Fi 6 consumer devices: US$0.5 per unit.
- IoT-Centric devices: One percent of the net selling price, capped at US$0.75.
- IoT-Enhanced devices: Ranging from US$0.3 to US$1 per unit.
Mr. Alan Fan, Vice President, and Head of the Intellectual Property Rights Department at Huawei stressed the importance of a positive cycle that protects and rewards innovators to ensure sustainable innovation.
Huawei has engaged in bilateral patent licenses with numerous companies, including tech industry players such as Samsung and Oppo, as well as leading automakers like Mercedes-Benz, Audi, and BMW.
The company's cumulative R&D investment in the past ten years amounted to CNY977.3 billion. In 2022 alone, its R&D expenditure reached CNY161.5 billion, accounting for 25.1% of its revenue.
The event also marked the launch of Huawei‘s official licensing website, offering details about the company's bilateral licensing programs, covering mobile handsets, Wi-Fi, and cellular IoT.
Former Chief Judge of the United States Court of Appeals for the Federal Circuit, Mr. Randall R. Rader, praised intellectual property as a driving force that advances technology for the benefit of all.