Re <<Where did you get the figures?
My research shows that in 2022, Huawei’s patent royalties were $560 million, not $4bn.>>
(1) 2022 is not an indicative moment to sample Huawei IP revenue flow as it was at cusp of 'explosive' growth.
Let me first reiterate what my friend told me; that be same friend who told me Huawei can get as many chips as it needs going forward. I quote, and including my context
QCOM royalty income ~6B, stable to dropping
"Huawei royalty take 4+ B, rising"
guessing crossover ~2026, of 2026 / 2032
a coincident (2) The truth should emerge around June / July 2024, for 2023 calendar year result.
I am not clear on whether above number is a total for January 1st 2023 to ~December 31st 2023, or is the run-rate of December 31st 2023 x 12. No matter in the big picture.
(3) I understand the drivers of Huawei IP take to be several, them being
(3-i-a) Huawei, pre-Trump, neither cared about nor fussed over collection of IP royalty, albeit was busy filing for IPs, and thanks to the MAGA Trump, Huawei, the name directly translates to 'China' 'Great', decided to start collection protocol
(3-i-b) Huawei, sued Verizon at the get-set-go for $1B IP royalty, and the two companies settled out of court mid-trial, terms undisclosed, meaning Huawei happy with the collection process
(3-i-c) Huawei moved on to other IP licensors, meaning everybody from Apple to Samsung to Xiaomi to ...
(3-i-d) IOW, Huawei effectively only started to monetise IP starting 2018, from essentially zero, not because it did not have IP that others used, but because it never bothered, being way too busy developing more IP and quite generous to the market place
(3-ii-a) Back then when 2018 5G was numerically a small factor, essentially zero, but since than 5G grew and now forecasted to grow some more
(3-ii-b) like so, that which we might term 'explosive' statista.com
Above canalys.com be forecast done 2019
(3-ii-c) For 2023, close-enough for government work, 61% of all handsets sold were 5G computerworld.com
The report notes that global shipments of 5G smartphones will increase by 11% in 2023 and 20% in 2024. The proportion of 5G smartphones in the market is set to climb from 61% in 2023 to 83% by 2027. (3-ii-d) Total 5G handset sales for 2023 latest estimate be statista.com.
(3-ii-e) Huawei likely clopped majority of handset makers, and at US$ 2.50 per handset, gross is net, tallies $1.6B for 5G royalty alone
(3-ii-f) and plus 'a reasonable % of sales revenue' lightreading.com
(3-ii-g) Huawei also holds IP in other, meaning all communication areas, including cloud, IoT, private industrial 5G, automation, cars, etc etc etc
(4) For future reference, Huawei is the planet's largest 5G IP holder
(5) Generally, for indication
(6) Particular to 5G
(7) Message 33759096
China Leads the Way With Private 5G Networks at Industrial Facilities Among the projects: a coal mine where 5G allows remote inspections of mines and the automation of mining activity Message 34063430
Huawei’s industrial 5G takes off Sales and profits stabilize after more than 3 years of US sanctions
Bottom line, in order to fully benefit from industrial 5G and march the factories through 5.5G and slog to 6G, must have lots of factories to conscript, and ... well ... etc etc
(8) Particular to Huawei, per Ericsson copium (as Huawei has huge and growing industrial IoT 5G / 6G knowhow because China China China has huge and growing factories)
media.licdn.com
(9) I am told 'it' (disputes) might be a case that Team USA believes in own MSM re mythologies from the get-go, various wars, trade or otherwise, and therefore holds faith in its governance, navy, missiles, F35s, quantum, ... and 5/6G, and, etc etc etc, and the market place is settling the disputes
Dunno, agnostic, waiting to see.
asiatimes.com
Huawei surges into the 5.5G lead Chinese telecom giant leading the charge into 5.5G, which promises a tenfold improvement over current 5G |
