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SearchThe multi-year pact establishes cross-licensing and provides for Qualcomm to purchase certain U.S. patents from Huawei. The price, royalties and other terms have not been disclosed; the transaction is pending regulatory approvals.
Qualcomm and Huawei announced a multi-year cross-licensing agreement covering 5G, computing, artificial intelligence and networking technologies. The pact establishes a framework for both companies to use certain technologies protected by each other's intellectual property portfolios.
The announcement also provides for Qualcomm to acquire certain U.S. patents from Huawei related to computing, AI, networking and other technologies. The purchase still requires the necessary regulatory approvals to be completed. The companies have not specified which patents are included in the transaction.
The price of the patents, royalties, the precise duration of the agreement and other financial terms have not been disclosed. Xataka México reports that Qualcomm rejected the claim that it is the net payer under the pact: according to that coverage, both companies will pay to use the other's technologies. Therefore, there is not enough public information to determine the final economic balance between the parties.
The companies said the agreement complies with FRAND principles—fair, reasonable and non-discriminatory terms—for the relevant licenses. That reference does not disclose the rates or reveal how they will be applied in each case.
John Han, executive vice president and general manager of Qualcomm Technology Licensing, said the pact recognizes both companies' contributions to communications technologies. Alan Fan, Huawei's head of Intellectual Property, also highlighted the value of the two companies' innovation.
Huawei and Qualcomm had already reached a licensing agreement in 2020 to resolve an earlier dispute. The new understanding specifies a scope that, in addition to mobile communications, includes computing, AI and networking. No details have been published that would allow the financial terms of the two agreements to be compared.
Xataka México adds that Qualcomm denied the agreement includes a license to use LogicFold, Huawei's chip manufacturing technology. This point is not part of the terms described in the companies' announcements covered by the other available reports.
Accordingly, the confirmed scope is limited to cross-licenses in the announced areas and the planned purchase of certain U.S. patents, which is still subject to regulatory review. The lack of information about specific assets and financial terms makes it impossible to determine how the licenses will be distributed or what value the transaction will have.
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