Huawei Wants To Charge Verizon Over $1 Billion Of Patent Licensing Fees

Huawei wants to get over $1 billion from Verizon for patent licensing, a report revealed. On Wednesday, Reuter cited a source saying that the Chinese giant charges Verizon these fees for using more than 230 networking-gear patents.

Currently, the telecom provider is using other companies’ equipment which relies on the patents relating to core networking gear, IoT technology, as well as wireline infrastructure. Last week, the two companies’ representatives met in New York to discuss whether or not the gear could infringe Huawei’s patents, according to the publication.

A spokesman from Verizon said:

Verizon and Huawei didn’t respond immediately to a comment request.

Last month, the US blacklisted Huawei’s networking gear in its market. On the other hand, an executive order was signed by its President Donald Trump, which basically issued a ban on the Chinese firm following concerns that the Chinese company was closely related to the Chinese government. The major tech firm denied this charge.

Also on Wednesday, S&P Global, a credit rating organization, said that there can be several levels of impacts that the US ban on Huawei can have on the technology industry. The influences are likely to include blocking the growth of US tech players.

When the US made the move in May, the Chinese tech giant responded quickly, stating that the decision was in no one’s interest. It also warned that the ban would significantly harm US companies doing business with it. After the ban, a lot of companies one by one cut business with Huawei, including giants like Google, Qualcomm, and many others.

Late Wednesday, CNET learned that Huawei is objecting to the ban with a memo sent to the Federal Communications Commission.