Chapter 830: Qualcomm Tax

Speaking of Qualcomm Tax, Zhou Shi actually has no aversion to him, in the final analysis, there is still technology, and then using technology to make money is a win-win business strategy for most enterprises. In a sense, most of the domestic mobile phones in the previous life were supported by Qualcomm, and without Qualcomm, there would be no Xiaomi and blue-green factories.

Why? Let's look at a cross-licensed patent platform built by Qualcomm. On the one hand, relying on cross-licensing of patents with other communications patent holders, Qualcomm can provide customers with "secure" products without legal disputes, and all related patents are integrated by Qualcomm, which can avoid patent disputes, and Qualcomm chips are naturally more popular than other chip manufacturers, but on the other hand, Qualcomm does not pay fees to cross-licensed patent holders.

To explain a little, because Qualcomm has CDMA core patents, it has a large number of essential core patents in the mobile communication 3/4G standard, that is, as long as it involves 3/4G communication technology, it is impossible to avoid Qualcomm patents. Qualcomm has taken advantage of this opportunity to cross-license with a number of companies, including Nokia, Huawei, Samsung, and others. Most of the communication functions are concentrated in Qualcomm's SOC, so customers who use Qualcomm chips avoid the vast majority of patent disputes (just look at the number of global communication companies, the distribution of patents is more scattered, and if you want to go to each company to talk about patent licensing, Huaxia startups have almost no way to succeed). Therefore, Xiaomi, blue and green mobile phones can be sold in China and go abroad (of course, the specific things are more complicated, Xiaomi mobile phones they still have to pay patent fees to Nokia, Ericsson, etc., but it can barely be understood that Qualcomm has reduced the difficulty of starting a business in the smartphone industry). From this point of view, Qualcomm has greatly promoted the development of China's smartphone industry.

Of course, this is not to say that Qualcomm's tax is reasonable, out of Qualcomm, no one's royalty is charged according to the price of the product, and it has reached 5% of the overall selling price. Everyone's disgust with Qualcomm tax, in the final analysis, is actually a conflict of interests, and ordinary consumers actually have little to do with it, pay a little less Qualcomm tax, these companies will have more profits, and even pay less of this part of the patent fees need to be handed over to other companies, such as Huawei, Samsung, ZTE, which have deep patent accumulation......

Without Qualcomm Tax, it is the powerful companies that will ultimately benefit, not the start-ups. And one thing is almost certain: Huawei, a company that not only survives chips, but also produces mobile phones, as well as patent reserves, will inevitably use its advantages to fight other weak competitors in the future. For the industry as a whole, it is obviously not conducive to innovation. Huawei does not collect patent fees from domestic mobile phone companies, but may it not collect patent fees all along? Qualcomm, which only produces and sells chips and licenses patents, is different, and it does not need to crack down on start-up mobile phone companies or innovation.

Assuming that without Qualcomm tax, companies are expecting profits to be returned to consumers, which can only be said to be too simple. Of course, it is in China's interest that Chinese companies make money more than American companies, although it is almost impossible for consumers to feel these benefits.

"Qualcomm is seeking to reach a settlement with Nutshell and Nuts, and there is a good chance that our plan will come to fruition. "Wei He

Apple's IPhone pays Qualcomm $7.5 per phone for licensing the patent, and the patent for the shell will not be less than Apple's, and it should be able to reach a similar price. Of course, this is not his goal, Zhou Shi wants to reach a contract with Qualcomm similar to Nokia's one-time payment of 15 years of patent fees, if the contract amount is less than $5 billion, it is acceptable.

"Hopefully!" Zhou Shi didn't think that good things would happen to him.

"You can also do more plans, Guoke according to the annual sales of 100 million mobile phones, 5~10 years of patent authorization ......" Zhou Shi thought about it, still did not continue, the smartphone industry is bullish, Apple and Shell paid Qualcomm this year The patent fees should add up to more than 2 billion US dollars, and when Qualcomm and Nokia sign the contract, the entire market will not be more than 2 billion US dollars. While Spreadtrum's CDMA patent license will change the market, Qualcomm's core position in the 3/4G standard is almost impossible to shake. So a lot of things are just thinking about it.

Thinking about it, Zhou Shi suddenly wanted to acquire Nokia's mobile phone, otherwise Qualcomm's patent licensing fee would be much less in the future, but unfortunately it wasn't until he paid attention to CDMA patent licensing that he noticed the patent cooperation between Nokia and Qualcomm, and then investigated Nokia's matter, it's a pity!

"Qualcomm's charging model may be difficult to subvert, and it may be more realistic to ask for some discounts and agree on a cap. "Wei He

Made, the patent matter is too complicated, of course, if it weren't for the split of Nortel Networks and IDCC's patents into three parts, but if it hadn't been split, the United States and Canada would have come to the door long ago. There are two sides to everything, backwardness is backwardness, how can there be so many shortcuts. In the end, it depends on their true strength. The accumulation of so much cash flow by Guoke is already a big advantage.

"It can't go on like this, you go back and discuss with Huawei, can we set up a patent joint R&D cooperation organization to coordinate the R&D key ...... of Guohu, Nuts, Spreadtrum, and Huawei" Zhou Shi Naodong was opened, because patent applications are compared to speed, and there is too much duplication of scientific research activities between most companies in the world. There is a similar patent cooperation between fruit shells and nuts, and if such cooperation can be popularized, it will obviously be conducive to the rational use of funds. However, the shell nuts are split from the same company, and the relationship is naturally different from Huawei.

"There should be some feasibility, but the secrecy ......" Wei He, Carly Fiorina is an American, and half of the Fruit Shell Company is now foreigners.

"There will always be a way, either the coordination of the husk will let the nuts be responsible, anyway, they have a lot of money and don't care. "Zhou Shi

"Huawei's Ren Zhengfei may not believe in our sincerity......" Wei He, it's not that Zhou Shi's method can't work, but it's too idealistic, and he hands over his fate to others, how many people can do it?

"Let's try it, no. "Zhou Shi, don't give up the most naïve ideas easily before you try it.

"Then I'll be in China in a few days!" Wei He

"Thank you for your hard work!" Zhou Shi

"It feels very fulfilling to do these things...... "Wei He

"To make money for yourself, but also to help the country...... Hey, don't talk about this, I hope that in the 5G era, we will be less squeezed. "Zhou Shi

"I'm sure it can be done!" Wei He

"Yes, for sure......" Zhou Shi