Huawei — the controversial Chinese electronics manufacturer that was at the heart of several cyber security breaches and espionage accusations — is set to rake in cash from automakers seeking to license its technology.
Mercedes-Benz, Audi, BMW, Porsche, Subaru, Renault, Lamborghini, and Bentley have all reportedly signed deals with Huawei for tech patents. Huawei estimates its technology will now be present in 15 million of the 70 million cars produced globally.
Huawei is still battling U.S. sanctions that impacted their smartphone business and in-house semiconductor development. Deals with other companies for patent licensing not only help Huawei generate much-needed revenue but allow the firm to continue dealing with foreign entities and markets — including American ones.
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While export controls ban Huawei from working with several global suppliers, their patents are not subject to such restrictions. Speaking to Nikkei Asia, Alan Fan, global head of Huawei’s Intellectual Property Department, said, “We also have dealings with American companies on cross-licensing deals, and [export controls] are not a factor at all.”
Indeed, automakers aren’t the only ones making agreements with Huawei. The tech company signed 20 new or extended patents in 2022, covering technologies for smartphones, connected vehicles, and IoT.
Meanwhile, Huawei continues to expand its own automotive operations, with the company’s Avatr joint venture with battery maker CATL offering Chinese consumers models such as the 11. Huawei tech is also present in other homegrown vehicles, while their autonomous driving division is said to making great strides into self-driving vehicle tech.
When asked for comment about the topic by Nikkei Asia, an Audi spokesperson said that the carmaker “respects the intellectual property of third parties and is willing to take licenses if such licenses are necessary and available to comply with the law.”
