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Chapter 167: Use magic to defeat magic

The most active period for Qualcomm’s legal team is probably the era of smartphones. With the emergence of smartphones, the original GSM has become increasingly weak, while the advantages of CDMA, a rising star, have become more and more obvious.

With the advent of the smartphone era, Qualcomm has officially become the dominant player in the mobile communications field by virtue of its various CDMA patents.

The most rogue thing about Qualcomm is its Qualcomm tax, which is patent royalties.

Are Qualcomm's patent fees high? There was a dispute between Qualcomm and Meizu over Qualcomm's patent fees. Not long after, Apple also got into trouble with Qualcomm because of Qualcomm's patent fees.

It can be said that as long as they are making mobile phones, almost every mobile phone manufacturer wants Qualcomm to die!

The reason for the tense relationship between Meizu and Qualcomm is that when almost all domestic brands are compromising to pay patent fees to Qualcomm, Meizu has always insisted on not cooperating, saying that it has never reached an agreement with Qualcomm, so patent fees are not negotiable. Meizu’s point of view is

, Qualcomm’s patent fees are too high and unreasonable.

According to Qualcomm's agreement, Qualcomm will charge 5% for 3G equipment (including multi-mode 3G/4G equipment) for the authorization of necessary Chinese patents for 3G and 4G brand equipment sold and used in China.

The 4G equipment of the agreement (including 3-mode LTE-TDD equipment) is charged a 3.5% patent fee; the basis for each type of patent fee is 65% of the net sales price of the equipment. To give a simple example: a 2,000 yuan mobile phone,

You need to pay a patent fee of 2,000 yuan 65% 5% = 65 yuan. In other words, the more expensive the mobile phone is, the higher the payment. However, the profit margin of domestic mobile phone brands has always been maintained at a low level, so naturally it is not

I would be happy to be given more money by Qualcomm.

But there are some things that cannot be separated just because you say they are not. When faced with rogue patents like Qualcomm’s, you either have to pay or don’t use Qualcomm’s baseband in your mobile phone.

In the end, Meizu chose to settle with Qualcomm. After all, there is really no way to beat Qualcomm, a patent troll, and its powerful legal department.

Even Huawei in later generations can only choose to reconcile with Qualcomm.

When the United States initially imposed sanctions on Huawei, Qualcomm said that it had resolved its long-term patent dispute with Huawei and signed a new long-term patent license agreement. Huawei will become a major supplier of 5G mobile phones and network equipment. It is expected to be completed by September.

In the fourth fiscal quarter, Huawei's settlement payment will reach approximately US$1.8 billion. Qualcomm said that according to U.S. law, Qualcomm cannot sell chips to Huawei, but it can collect patent royalties.

According to Qualcomm, I don’t have to sell chips to you, but you can’t stop paying me royalties.

Many people say that Huawei also has patents, but the key point is that Qualcomm does not produce mobile phones. As for other businesses after patent crossover, Huawei will definitely be the one paying.

After a series of operations by Qualcomm, Su Yan clearly realized that one of the most important means of competition in the communications field is patents.

At that time, after Qualcomm and Apple had disputes over baseband chip procurement and price negotiations, Qualcomm and Apple launched a series of patent infringement lawsuits in China, Germany, the United States, and South Korea.

The final result is that Qualcomm, which holds most of the patents, quickly reached an agreement with Apple to reach a global patent license and provide chips after obtaining a preliminary ruling on the import of Apple products from the U.S. Trade Commission's Section 337 investigation.

After the settlement with Apple was reached, Qualcomm's stock price soared by 22 percent. You must know that Qualcomm's market value has reached hundreds of billions of dollars at this time, which can make the market value of a company with a market value of hundreds of billions of dollars soar by 100 percent. Chapter 22, we can see how powerful Qualcomm is in patents.

Therefore, Su Yan, who wants to enter the smartphone market, is absolutely unwilling to see Qualcomm, a patent troll, continue to grow stronger.

Su Yan didn't want to face the patent fees from Qualcomm's rogues when he launched his smartphone. He also had to worry from time to time whether he would be strangled by Qualcomm due to the impact of international relations and bear the risk of a sales ban from Qualcomm at any time. .

As the saying goes, use magic to defeat magic.

Su Yan decided not to be a human being anymore!

At present, the best opportunity is to skip 3G and directly deploy 4G. You must know that because of Qualcomm's tough and efficient patent charging policy, many communication industry companies hoped to get rid of the protective umbrella of Qualcomm's patents.

In the 4G era, the effort for this purpose was to choose OFDM corrective division multiple access technology? Instead of choosing to abandon the CDMA code division multiple access technology widely used in 3G by Qualcomm, which has a large number of technology patents.

In fact, CDMA's multiple-access technology does not lag behind in performance. In the 5G era, Qualcomm still tried to introduce extended multiple-access RSMA technology? In fact, it is still CDMA technology.

The reason why Qualcomm, a patent troll, was not brought down during the 4G transition was because Qualcomm’s subsidiary acquired Flarion at a critical moment to make up for its shortcomings in OFDM technology.

And in the 5G era? At that time, Qualcomm even tried to acquire NXP, which owns the core technology of the Internet of Things, to make up for its technical shortcomings. However, the acquisition was not successful because it failed to obtain approval from Chinese regulatory authorities in China. Even this important The incident has become an issue in the confidential trade war negotiations between China and the United States.

Su Yan's idea is, I can't beat you in the 3G era? Then I will just give up the 3G era. When everyone is working hard towards the 3G field, I will continue to accumulate towards the 4G field.

Since Qualcomm is the god of the 3G version? Then I will prepare in advance to be the god of the 4G version.

As the saying goes, one generation of versions brings generation of gods, and generations of versions play...

After returning to the company, Su Yan also began to set up Shenxiu Technology's own mobile communications development department.

As for talents engaged in mobile communications research, Su Yan directly targeted the talent resources of the University of Posts and Telecommunications and several universities in Yanjing.

Soon a department composed of mobile communication research professionals was officially established at Shenxiu Technology. At the same time, Su Yan also spent a lot of money to purchase multiple patent rights.

The first thing after the establishment of the Mobile Communications Development Department was to concentrate all efforts on researching OFDM technology? Multiple-input multiple-output (MIMO) technology? Software-defined radio (SDR) technology? Smart Antenna technology (SA) and other technologies.

Su Yan's goal is to accumulate enough 4G technology in the 3G era? Even to a certain extent, end the 3G era early and enter the 4G era.

It can be said that the 3G era has existed for a long time. Although it seems that the domestic 3G license was only issued in 2009? The 4G license appeared in 2013. It seems that the 3G era has only existed for 4 years? But if according to the international 3G

Counting the emergence of the 3G era? The 3G era has lasted at least more than ten years, and Qualcomm has been monopolizing the 3G era for more than ten years!
Chapter completed!
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