US Stock Market Move | Qualcomm (QCOM.US) rises over 4% in pre-market trading, reaches multi-year patent licensing agreement with Huawei.

Huawei and Qualcomm (QCOM.US) announced on Monday a multi-year, broad patent licensing agreement that includes cross-licensing of their patent portfolios in multiple fields such as 5G, computing, artificial intelligence, and networking, as well as Qualcomm's acquisition of some of Huawei's US patents. The transaction will be completed after obtaining necessary regulatory approvals. As of press time, Qualcomm rose over 4% in pre-market trading. According to reports, this is the first patent licensing agreement between Huawei and Qualcomm covering 5G technology. Huawei stated that after the transaction is completed, it is expected to push the total value of its patent licensing agreements to exceed US$6.9 billion. Huawei stated that since 2021, its intellectual property licensing business has achieved positive revenue, reflecting years of sustained investment in research and development. Huawei first paid licensing fees to Qualcomm in 2001, and in 2011 it received licensing revenue from Motorola for the first time. Before reaching this agreement with Qualcomm, Huawei announced in August this year that it had reached a patent licensing agreement with HP Inc.