Thursday 6 February 2020 3:33 pm

Huawei sues Verizon over patent theft claims

Huawei has announced it is launching legal action against telecoms giant Verizon, signalling the latest salvo in an ongoing dispute between the US and China.

In a lawsuit filed in Texas, the Shenzhen-based tech giant accused Verizon of using its technology in areas such as computer networking, download security and video communications.

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Huawei is also seeking ongoing royalty payments for the alleged patent use.

“Verizon’s products and services have benefited from patented technology that Huawei developed over many years of research and development,” Huawei’s chief legal office said in a statement.

“Huawei is simply asking that Verizon respect Huawei’s investment in research and development by either paying for the use of our patents, or refraining from using them in its products and services.”

Huawei could not provide a figure on the compensation as it does not have a breakdown of the patents’ alleged financial benefit to Verizon, a person with knowledge of the matter told Reuters.

In the court documents the Chinese firm said Verizon had “profited greatly” from its technology.

Huawei and Verizon have reportedly held meetings over the matter but did not reach an agreement.

It comes amid a wider series of legal battles between Huawei and the US government, which has placed the company on a trade blacklist amid fears about national security.

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Huawei chief financial officer Meng Wanzhou is also fighting extradition from Canada to the US on charges of bank fraud and breaching sanctions against Iran.

Verizon has previously declined to comment on its patent dispute with Huawei.