U.S. Charges Huawei With Racketeering and IP Theft

In the ongoing battle between the U.S. and Huawei, the Department of Justice (DOJ) has filed new charges against the Chinese firm....
U.S. Charges Huawei With Racketeering and IP Theft
Written by Matt Milano

In the ongoing battle between the U.S. and Huawei, the Department of Justice (DOJ) has filed new charges against the Chinese firm.

The DOJ has filed charges of racketeering and intellectual property (IP) theft, as well as accused the telecom company of having business in North Korea and aiding Iran in its efforts to surveil protesters. According to the indictments, Huawei is accused of successfully stealing IP from six U.S. firms, using several local subsidiaries.

In a statement responding to the charges, Huawei accuses the U.S. government of “using the strength of an entire nation to come after a private company.” The company says this is a case of “political persecution, plain and simple.”

Huawei then engages in a lengthy breakdown of the IP theft charges, saying that IP disputes are common to the industry. It then compares its own track record with Apple and Samsung, both of whom were involved in over 500 disputes, compared with Huawei’s 209.

The company also says it has “been granted 87,805 patents, including 11,152 patents in the US. Since 2015, Huawei has received over US$1.4 billion in licensing revenue. We have simultaneously paid more than US$6 billion in royalties for the legitimate use of other companies’ patents. Nearly 80% of that amount was paid to US companies.”

Noticeably, the statement does not address the accusations regarding the company’s involvement with North Korea or Iran. Either way, this battle is far from over.

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