Huawei Sues Verizon Over Unauthorized Use of Network Patents
Huawei files a lawsuit against Verizon, accusing the US carrier of using 12 of its network technology patents without permission. The legal action highlights ongoing tensions between the Chinese tech giant and American companies.
Huawei initiates a lawsuit against Verizon in Texas district courts over the unauthorized use of 12 network technology patents. The legal action represents the latest development in the ongoing adversarial relationship between the Chinese tech giant and the United States. Although none of the disputed patents involve 5G technology, sources indicate they remain crucial to overall network functionality.
The world's largest telecom equipment maker emphasizes its massive investment in research and development, which totals nearly $15 billion in 2018 alone. Huawei's chief legal officer states that Verizon benefits from patented technology the company develops over many years. The Chinese firm currently holds numerous patent license agreements with various companies across the tech industry.
Huawei reports it collects over $1.4 billion in patent licensing fees while paying out $6 billion to use technologies developed by industry peers. The company notes that eighty percent of those outgoing payments go directly to American businesses. After unsuccessful negotiation attempts with Verizon, Huawei states it has no choice but to seek a legal remedy through the court system.