Huawei and Qualcomm sign patent cross-license; Qualcomm to buy some Huawei US patents

On October 5, Huawei announced that it has reached a multi-year patent licensing agreement with Qualcomm. Under the deal, the two companies grant each other cross-licenses covering their patent portfolios in 5G, computing, AI and networking, among other technology areas. The agreement states that it follows FRAND (fair, reasonable and non-discriminatory) principles. According to the report, the deal amounts to a settlement between two technology giants that have long fought over patents.

The same announcement said Qualcomm will also acquire some of Huawei's US patents in computing, AI, networking and other technology fields. That purchase is subject to the necessary regulatory approvals before it can close. The report did not specify the length of the licensing term, the number of patents involved, the value of the transaction or the royalty rates. Neither company was cited with additional terms.

In its October 5 report, Wallstreetcn said the agreement carries strategic weight for both sides: for Huawei, it reaffirms the value of its patents in 5G standards and frontier technologies, while for Qualcomm, buying Huawei's patent assets strengthens its intellectual property position in AI and computing. As of that report, the cross-licensing agreement had been made public, while the patent purchase was still awaiting regulatory approval and had not yet closed.