HP has entered into a multi-year global licensing agreement with Huawei for certain WiFi patents, marking a significant collaboration between the U.S.-based personal computing and printing company and the Chinese telecoms giant despite ongoing U.S. restrictions on Huawei [1]. The agreement was announced by both companies on Wednesday and follows the U.S. government's 2019 decision to blacklist Huawei, which limited its ability to work with American suppliers such as Google [1].
This deal comes after HP, Huawei, and other companies resolved a patent dispute related to wireless networks late last year. The resolution allowed HP access to a pool of 2,000 patents connected to wireless network connectivity, with Huawei being one of the founding members of the Sisvel WiFi 6 patent pool [1]. The latest agreement is described as a global cross-licensing deal that includes 'valuable reciprocal patent rights from HP,' according to Steven Geiszler, who represented Huawei in the negotiations. Geiszler, a Texas-based attorney, previously served as a senior in-house intellectual property lawyer for Huawei before establishing his own firm with Huawei as his main client [1].
The partnership is seen as a sign of the adoption of Huawei's technology outside China, even as U.S. restrictions remain in place [1]. HP is scheduled to release its earnings on Thursday morning Beijing time, which may provide further insight into the financial implications of this agreement [1]. HP was spun off as a separate company in 2015 after Hewlett-Packard Company split into two units [1].
CONCLUSION
HP's global WiFi patent licensing deal with Huawei demonstrates continued international engagement with Huawei's technology despite U.S. restrictions. The agreement resolves previous patent disputes and may influence HP's future product offerings and market positioning. Investors may look to HP's upcoming earnings release for additional context on the deal's impact.