Rebirth 1999: Opening the Age of Black Technology

Chapter 509: Explosive profits, high patent royalties

Ren Fei felt that his time in Jiangzhou was the happiest and most relaxing time in the past few years.

First of all, he and Chen Xiao get along with other senior management of Changtian Technology without any pressure or unhappiness, and they are very relaxed.

Secondly, the scientific research atmosphere of Changtian Technology and the technological products it has created are also urgently needed by Huawei.

The success of the 3G communication test now means that Huawei is about to move to a higher platform and compete with Western technology companies.

Among them, the contribution of Changtian Technology is indispensable.

Just kidding, Ren Fei and Chen Xiao discussed in detail about the licensing of 3G communication technology patents.

Before that, Changtian Technology and Huawei have applied for patents to relevant national departments and some overseas countries.

The patent application process is very long, but according to the relevant international patent laws, as long as your technology is successfully developed and you have the corresponding supporting materials, your related technology transfer will be protected from the moment you plan to apply for a patent .

Moreover, 3G technology is originally a difficult patented technology in the field of communication. Even if others want to copy your technology, they will not be able to copy it.

Therefore, in terms of technical patents, Changtian Technology and Huawei are relatively assured.

Although the two sides do not talk about equity, the business is business after all, and it is still necessary to discuss profit distribution.

For the sake of his own dominance, Ren Fei hopes that Changtian Technology can license 3G technology to Huawei at one time.

Ren Fei means to pay Changtian Technology's 500 million RMB 3G technology patent royalties at one time, and the technology will be used preferentially to Huawei for 3 years.

After 3 years, Changtian Technology can license the technology to other companies, but within 3 years, the technology can only be used by Huawei itself.

After three years, the two parties will renegotiate the follow-up patent licensing fee depending on the market situation.

Ren Fei made such a suggestion after careful consideration, and even thought about this issue from the perspective of Changtian Technology.

In this way, whether or not Huawei has received orders in 3G, whether it has profits or not, has nothing to do with Changtian Technology, and Changtian Technology can take 500 million yuan in a stable and stable manner.

Three years later, if Huawei has made great achievements in the 3G market, the two parties can renegotiate the use of patents, and Changtian Technology can also increase the price from it, and Huawei is also willing to pay more royalties.

This suggestion put forward by Ren Fei is full of sincerity and full of protection for Changtian Technology, so that most of the risks are borne by Huawei.

When Wang Xiang heard the 500 million RMB patent royalties, he couldn't help smacking his tongue.

He thought that communication technology would be very profitable, but he did not expect it to be so profitable.

Warwick can pay up to 500 million in royalties, which means that Warwick makes more than 500 million by using this technology outside.

At present, Huawei's cash is still relatively abundant, and as soon as the technology is obtained, he will immediately bid overseas, and the funds will be returned quickly.

Ren Fei also hopes that in this way, Huawei will have a certain dominance in the use of technology.

More than 500 million?

Of course a lot.

Since the establishment of Changtian Technology, the technology developed by it has not been transferred to the outside world.

Therefore, the 500 million transfer of 3G communication technology should be regarded as the first technology authorization fee of Changtian Technology.

This amount of money is equivalent to the 10-year profits of many top-ranking companies in Xia Guo.

In the Xiaguo stock market, many companies do not even make 5 million in profits a year, let alone 500 million.

If you do not have core technology, business is actually very difficult to do.

This is why many Xiaguo-listed technology companies from 2008 to 2020, the amount of corporate principal and financing, was not used for scientific research or their own technology products, but was used for real estate speculation.

The money these companies make from real estate speculation is ten times or even dozens of times more than the profits made by their main products.

Chen Xiao once saw a very funny listed company.

The annual loss of the main business reached 50%, but the company demolished its own factory and used it to build real estate to make a lot of money. Therefore, from the perspective of the financial statements, the company was profitable for the whole year.

Because real estate is one of the few industries that does not require much technology but can make a lot of money.

But Chen Xiao felt that 500 million was not much.

In Chen Xiao's memory, Qualcomm holds 90% of 2G patents, 27% of 3G patents and 16% of 4G patents, and these patents have also made Qualcomm a lot of money. For a year, Qualcomm only relied on these patents. Authorized use, earned more than 6 billion meters.

So 500 million RMB is nothing compared to more than 6 billion meters.

However, Chen Xiao does not intend to gain 500 million RMB at a time. If Changtian Technology wants to achieve a monopoly in the industry and have the right to speak in the industry, it must exert influence on the entire industry.

So Chen Xiao said: "Changtian Technology hopes to send a technical commissioner to Huawei. We hope that our own commissioner will participate in each order of Huawei."

The purpose of the technical specialist is to verify the order quantity and profit obtained by Warwick using the patent.

"I hope to extract 20% of the profits from each of Huawei's 3G orders, as the grant fee for intellectual property rights. When the total net profit of Huawei's 3G communication business exceeds 1 billion, Changtian Technology will extract from each order. 10% of the net profit.”

"The patent grant period is 10 years, and after 10 years we can take the patent for use by other companies."

"Of course, within these 10 years, Huawei can also use this patent to conduct patent mutual licensing with other communication companies."

Chen Xiao assessed that although this way of cooperating with Huawei~www.readwn.com~ does not get a lot of cash at one time, the profits will be more and more abundant in the future.

In the future, even if Chen Xiao doesn't do anything, he can still get the profits contributed by Huawei with his eyes closed, and it can also offset inflation. How cool!

There are many patents in the field of communication, not a single product.

The patented technology is first developed and first obtained.

That is, even if you have developed a certain 3G technology, and the other party has developed it a few years ago, you must obtain the authorization of the other party before using the 3G technology developed by yourself, otherwise it is an infringement.

So one method that communication companies around the world are currently using is patent swapping.

For example, two technologies are developed independently, but the patents are distributed in two different companies.

Then the two companies can authorize the use of each other, and they will not be held responsible for the infringement of the other party, nor will they charge the other party's patent royalties.

At present, the development level of 3G technology in the world should reach 40%~50%, and the 3G technology patents in the hands of Changtian Technology should be able to reach about 80% of all 3G technologies, making it the absolute industry leader.

If Huawei can't make money by holding Chen Xiao's 3G technology, then Chen Xiao will directly eat the Huawei communication base station not far away.

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