Samsung renews tech-sharing agreement with Huawei as transferring its patents

Samsung's dominance over the global smartphone market was once seriously threatened by Huawei. However, a few years ago, the United States outlawed its smartphones. Later, the United States also imposed a trade ban on the company, preventing it from utilizing crucial technologies developed by US-based businesses. To stay afloat, the company has licensed its most important mobile and wireless technologies such as 5G to other brands, including Samsung.

Samsung and Huawei at a cross-licensing deal again

Following this news, Samsung is reported to have given Huawei some of its US patents. According to reports, the deal included in the cross-licensing agreement between Huawei and the Samsung. As stated in agreement, Huawei has acquired 98 of Samsung's US patents. In addition, the Chinese company acquired 81 patents from the South Korean company in 2019. Currently, the company has transferred 179 patents.

This is included in the cross-licensing agreement that the two companies reached a few years ago to settle their patent deal. The patents for smartphone cameras, telecommunications, charging, and display technologies were transferred from Samsung to Huawei.

Due to the quantity and quality of the patents involved in these cross-licensing deals, one company may sometimes have to pay more to the other. Samsung and Huawei's patent deal began with technologies related to telecommunications, for which Huawei held more patents. Microsoft and Xiaomi entered into a similar cross-licensing arrangement, with Xiaomi likely receiving a higher payment given that Microsoft holds more patents.