Qualcomm and Meizu sign patent licence agreement
Semiconductor company Qualcomm has signed a patent licence agreement with China-based consumer electronics business Meizu Technology.
Qualcomm released a statement about the agreement on December 31 to outline deta ils of the deal.
The semiconductor company granted Meizu a worldwide royalty-bearing patent licence to develop, manufacture and sell CDMA2000, WCDMA and 4G LTE devices.
The royalties are consistent with the terms of a rectification plan submitted by Qualcomm in February 2015 to China’s National Development and Reform Commission (NDRC).
As part of the rectification plan, Qualcomm agreed to pay a fine of nearly $1 billion to the NDRC as well as modify parts of its business practices in China.
Under that agreement, Qualcomm said it would offer separate licences to certain patents, with licensees whose phones use 4G technology paying a 3.5% royalty rate, and those whose handsets incorporate 3G paying 5%.
In October, WIPR reported that Qualcomm had sued Meizu for patent infringement at the International Trade Commission in the US, and in Germany at the Mannheim Regional Court.
The company further initiated “an infringement seizure action in France to obtain evidence for a possible future infringement action there”, according to a statement at the time.
In June, Qualcomm filed complaints against Meizu in China relating to patent licensing terms.
However, as part of the new licence agreement, all patent disputes between Qualcomm and Meizu in China, Germany, France and the US have been resolved.
According to the statement, the companies “have agreed to take appropriate steps” to terminate or withdraw the patent infringement litigations and invalidity proceedings.
Bai Yongxiang, president of Meizu, said: “We are confident this cooperation with Qualcomm will add tremendous value to our user, channels, shareholders and employees.”
Alex Rogers, executive vice president and president of Qualcomm Technology Licensing, added: “Qualcomm is pleased to sign this licence agreement with Meizu and to help enhance Meizu’s product line and generate strong growth for the company, both in China and globally.”
