Reuters ) – Huawei has told Verizon that the US airline will pay more than 230 patents of Chinese telecoms maker's license and in total seek more than $ 1 billion, a person informed of the case said Wednesday.
Verizon was to pay to "solve the patent licensing issue," a Huawei Intellectual Property Licensing Executive wrote in February, the Wall Street Journal reported earlier. The patents cover network equipment for more than 20 of the company's suppliers, including large US technology companies, but these vendors would indemnify Verizon, the person said. Some of these companies have been contacted directly by Huawei, the person said.
The current patents range from core network equipment, cable device infrastructure to internet-by-thing technology, the Journal reported. The license fees for the more than 230 patents sought are more than $ 1
Huawei has been fighting the US government for more than a year. National security experts are worried that "back doors" of routers, switches, and other Huawei equipment may allow China to spy on US communications. Huawei has refused to help China spy.
Companies involved, including Verizon, have joined the US government and the conflict comes amid a growing feud between China and the United States. License fee requirements may be more about the geopolitical struggle between China and the United States than a demand for patent fees.
Huawei and Verizon representatives met in New York last week to discuss some of the patents in question and whether Verizon is using equipment from other companies that may violate Huawei patents.
Verizon spokesman Rich Young refused to comment "about this particular issue because it is a potential legal case."
However, Young said: "These issues are greater than just Verizon. Given the broader geopolitical context, any problem involving Huawei has implications for our entire industry and also raises national and international concerns."
Huawei and US Wireless operators T-Mobile US and AT&T did not respond to Reuters' comments requests. Sprint refused to comment.
The United States last month put Huawei on a blacklist that prevented it from doing business with US companies on a security basis without governmental approval, causing some global technology companies to cut the ties with the world's largest telecoms maker.
Washington is also seeking extradition of Huawei's Chief Financial Executive Meng Wanzhou from Canada after being arrested in Vancouver in December of December.
China has since pushed the pressure on Canada, stopped Canadian canola imports and in May suspended the permits of two large pork producers.
( Reporting of Arjun Panchadar in Bengaluru and David Shepardson in Washington; Editing Anil D & # 39; Silva, Sriraj Kalluvila and Sandra Maler )