This month, Qualcomm revealed its 5G intellectual property licensing fees for smartphone manufacturers. According to the company’s official statement, the royalty rates are set at 2.275% for single-mode 5G devices and 3.25% for multi-mode (3G/4G/5G) handsets. This means that, under this standard, each 5G smartphone sold in the coming years could incur an average of around $16.25 in licensing fees to Qualcomm.
In November, Ericsson submitted a groundbreaking 5G patent application titled “end-to-end,†which integrates a wide range of 5G-related innovations into a comprehensive network architecture. According to Stefan Parkvall, a senior researcher at Ericsson, this patent covers all the essential components needed to build a full 5G network. He emphasized that these inventions will have a transformative impact on industries and society, enabling low latency and high performance for emerging applications like the Internet of Things (IoT).
It's clear that Ericsson's focus extends beyond just 5G smartphones—it's also targeting the massive IoT market, which is expected to reach trillions of dollars in value in the coming decade.
China's growing influence in the global 5G landscape should not be underestimated. Unlike previous generations such as 2G, 3G, and 4G, where China was more of a follower, it now plays a key role in shaping 5G standards. According to Wang Lei from the State Intellectual Property Office, China has been rapidly advancing in 5G patent applications. As of January 2017, China led the world in 5G-related patent filings, with over 1,600 applications globally.
Huawei, one of China’s leading telecom companies, filed 4,906 patent applications in 2016 alone, making it the top applicant in the country. Yang Chaobin, president of Huawei’s 5G product line, highlighted that the company began investing heavily in 5G R&D as early as 2009, spending $600 million on research—more than any Other global communications firm at the time. By 2018, Huawei planned to invest over 5 billion yuan in 5G product development.
Other Chinese companies, such as ZTE and Datang Telecom, are also playing significant roles. ZTE holds over 1,500 domestic and international patents, ranking first in the industry. Datang Telecom is a core member of the China IMT-2020 Promotion Group, contributing to various technical working groups focused on 5G development.
Zhang Xinsheng, vice chairman of the China Communications Society, pointed out that unlike earlier wireless technologies, 5G represents a complete technological shift. Whoever controls the key patents and sets the international standards will hold significant influence in the 5G era. He urged Chinese companies to seize this opportunity and establish themselves as leaders in the next generation of mobile technology.
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