Huawei to start charging royalties to smartphone makers using its patented 5G tech

GUANGZHOU, China — Huawei will begin charging smartphone makers a royalty to use its patented 5G technology as the Chinese technology firm looks to open a new revenue stream, even as other parts of its business have taken a hit due to U.S. sanctions.

The company said that it will charge “a reasonable percentage royalty rate of the handset selling price, and a per unit royalty cap” at $2.50 for smartphones capable of connections to 5G and previous generations of mobile networks.

This price is lower than some of Huawei’s competitors including Finnish telecoms company Nokia.