Chinese companies get revenue from their patents

Amador Palacios
2 min readJan 27, 2023

We know that in the business world, companies patent their developments, and on many occasions they assign the use of their patents to other companies that pay them a royalty, and that generates additional income for companies that invest their money in developing new processes and products. .

Quite a few years ago, it was only the Western companies that developed and assigned their patents to other companies and less developed countries, including China and other countries.

But that is ceasing to happen, as China spends more and more money investing in technology and development, and this means that some of its companies, such as Huawei, are able to earn income by transferring their technology to other companies.

Not long ago it was published that Huawei in the year 2022 has obtained more income from the license of its patents, than those it has paid to use the patents of other companies.

Just as an example, only in the year 2022 Huawei has signed more than 20 patent licenses, and a few of them with automotive companies such as Audi, Mercedes-Benz and others, so that they install the most modern means of communication in their vehicles.

Hauwei is the largest Chinese telecommunications company and receives a lot of help from its government, which is partly why it has received so many attacks from the US. It is a fight for technological leadership, to which the Chinese want to climb, and the Americans are not willing to allow it, and therefore do everything possible to prevent it.

Here everyone defends their interests fiercely, because Technology (understood in the broadest sense) is the key that opens the doors of the future to countries.

The collection and payment of patents is a tool that companies use to obtain money that allows them to continue researching and remain in technological leadership, since research costs a lot of money. And it is clear that Huawei wants to continue to do so.



Amador Palacios

I am an electronic engineer with more than 40 years working in industry. I like to reflect on Technological and Social issues