Xiaomi is seeking overseas expansion, although its global vice president Hugo Barra does not recognize the potential for patent litigation and evades some markets, but Xiaomi is plotting cooperation on patent reserves.
According to informed sources, in order to avoid patent litigation in overseas expansion, Xiaomi is plotting to cooperate with domestic mobile phone chip maker Lianxin Technology. The two companies will jointly set up a new company, which is responsible for the R&D and application of mobile phone chip core technology.
It is understood that Xiaomi is almost zero in the communication core patent reserve, and there are some minor patents belonging to the design, and once it expands overseas, the company does not have enough intellectual property rights to reach a patent cross-licensing with other smart machine manufacturers. protocol.
Want to set up a joint venture company
According to informed sources, Xiaomi and Lianxin began to contact a few months ago. The founders and CEOs of Xiaomi Company, Lei Jun and Li Wanqiang, met with Qian Guoliang, the president of Lianxin Technology, and reached a certain cooperation intention. Since then, Lei Jun and other companies have exchanged opinions with Zhen Caiji, the chairman of Datang Telecom (the parent company of Lianxin Technology), and finally reached an agreement.
At present, the two sides have entered the final negotiation period and will finally decide the investment amount, shareholding ratio and personnel arrangement. Insiders close to the negotiations revealed that Xiaomi will hold 51% and Lianxin Technology will hold 49%. However, the relevant person in charge of Lianxin Technology did not clearly reply.
As an important member of China's mobile phone chip market, Lianxin Technology is headquartered in Shanghai. It is the core enterprise of Datang Telecom Technology Industry Group in the IC design sector, specializing in the R&D and application of 2G/3G/4G mobile Internet terminal core technology. Provide 3G/4G mobile terminal chips and solutions. Together with Datang Microelectronics and other companies, it constitutes the unified operation platform of Datang Semiconductor. The platform is based on chip design and focuses on smart terminal chips, security chips, automotive electronic chips and other fields.
This is not the first time that Xiaomi Company and Lianxin Technology have contacted. When Xiaomi launched the red rice mobile phone in the second half of 2013, it used the chip provided by Lianxin Technology, but it was not listed due to other factors such as cycle.
"In addition to this strategic level of cooperation, the red rice TD-LTE 4G mobile phone based on Lianxin Technology LC1860 will soon be available, but the initial stage is still three models, and the five models need to be commercialized next year."
Xiaomi Patent
In recent years, the development of Xiaomi has been smooth and smooth. In the second quarter statistics released by relevant institutions in August, Xiaomi was promoted to be the largest mobile phone manufacturer in China. The overseas target is aimed at India, Brazil and other BRICS countries, and announced high-profile next year. The goal of selling 100 million mobile phones.
However, foreign mature markets pay more attention to patent intellectual property than domestic ones. In the domestic market, Xiaomi, which relies on marketing model, is clearly unable to stand on the ground.
When Apple’s design director attended the newly established summit of Vanity Fair recently, he expressed his dissatisfaction with the “learning†behavior of Xiaomi and other companies: “This is not a tribute, this is plagiarism.â€
Although Xiaomi has not yet entered the important smartphone market in North America and Europe, the overseas giants who have always waved their patent sticks will never allow companies like Xiaomi to “make things wrongâ€. Apple is a severe warning.
At present, Xiaomi's market is like the domestic market. Its emphasis on patent intellectual property is relatively weak. Secondly, the patent anti-authorization behind Qualcomm plays an important role in protection.
Earlier, it was reported that Qualcomm's patent anti-authorization would be cancelled. The most direct industry impact is that ZTE Huawei, which has deep patent pools, will benefit from this, and emerging brands such as Xiaomi Hammer will increase costs due to the lack of basic communication patents. And suffered from ongoing patent litigation.
According to the latest internal news, Qualcomm's anti-monopoly patent case is about to be closed, and the cancellation of its patent anti-authorization has been basically nailed. From this perspective, Xiaomi is aware of his future patent shortcomings, and it is defense in advance.
According to the above-mentioned person, "the shipment of Xiaomi mobile phone is relatively large, Lianxin Technology can increase the chip size, thereby increasing market share, and confronting Spreadtrum and MTK; while Xiaomi is for patent reserve, once Qualcomm closes the case, With the patent anti-authorization protection, Xiaomi and other similar Internet mobile phone brands will face the ensuing patent litigation, and traditional mobile phone manufacturers such as 'China Cool Alliance' will obviously not miss this opportunity."
According to the statistics of the State Intellectual Property Office, there are only 10 items in the number of invention authorizations. If compared with Apple, the number is 48 times; if compared with the domestic traditional mobile phone manufacturers, the "China Cool Alliance" which accounts for the majority of patent shares is hundreds of times that of Xiaomi, especially ZTE Huawei is more than a thousand times. In 2013, Huawei's patents amounted to 71,903 items, and a total of 44,168 Chinese patents were applied. The number of invention patents granted has ranked first in the world for seven consecutive years, while Xiaomi has only 1,141 items in total.
In the patent category, the invention patent is far longer than the utility model, the design has a long review period, the application is difficult, and the technical content is high. Also in the competition competition, the patentability of the invention patent is also strong.
Some analysts believe that among domestic mobile phone manufacturers, there are many Internet mobile phones like Xiaomi. Due to the short set-up time, Xiaomi has relatively few patent reserves. Once a patent lawsuit arrives, it is basically difficult to parry. The patent reserve needs to be sustained and a lot of money is invested in research and development. In the short term, Xiaomi is still acceptable, but in the long run, it will not make ends meet. Therefore, Xiaomi is facing the deep hole in the global market.
In addition to preparing new products, Li Wanqiang, co-founder and vice president of Xiaomi Technology, who has just retired to Silicon Valley, has the most important task to understand the patent rules of the North American market and to cooperate with them.
Whether Xiaomi’s move can clear the patent barriers for future development is still unknown. After all, this is not a sprint project. If you grit your teeth, you will have a chance to win. On the contrary, if you rush too hard, you will not be left behind. Time problem.
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