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【PhoneAuto News】On June 28th, Nikkei Chinese website published an article stating that Huawei’s patent offensive has brought three major challenges to Japanese companies.

The Japanese media stated that Japanese small and medium-sized enterprises, who are not good at intellectual property licensing negotiations, will be charged patent fees by strong players such as Huawei and patent pools, which may cause chaos. This situation can be considered as the first challenge for Japanese companies.

Huawei Company

The second challenge is that Japanese companies have always been at a disadvantage in standard-essential patents. According to statistics from Cyber Creative in September 2021, Chinese companies account for more than 40% of core technology patent applications for 6G, while Japanese companies account for nearly 10%.

Behind patents is actually research and development. Data released by Huawei shows that the company’s R&D expenses reached 3 trillion yen in the fiscal year 2022, accounting for 25% of its operating income. This figure is more than 2.5 times higher than Toyota, which has the highest R&D expenses in Japan, and nearly 9 times higher than Hitachi. The Japanese media pointed out that increasing the share of standard-essential patents in Japan is the second challenge, and the urgent task is to take fundamental countermeasures.

Japanese media states that Huawei’s patent offensive brings three major challenges to Japanese companies

The third challenge is the sense of crisis that the external environment brings to Huawei, which may strengthen its patent offensive against Japanese companies. Huawei’s original ideal strategy was to promote products to Japanese telecommunications companies, automobile companies, and small and medium-sized enterprises. The Japanese media stated that it has become difficult for Huawei to promote products in Japan at present, so it has turned to the strategy of legitimate patent fee collection.

In fact, not long ago, Huawei responded to the issue of “charging patent technology usage fees from approximately 30 Japanese small and medium-sized enterprises” and emphasized the legitimacy of this action: protecting intellectual property rights is the only way to innovation. The essence of the patent system is to incentivize innovation, and reasonable charges are the result of innovation rather than the goal.

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