TD patents have been free for a long time. Lei Feng was rejected by Qualcomm.

Some time ago, the National Development and Reform Commission investigated the suspicion of patent monopoly by Qualcomm Inc., and Qualcomm relied on patent licensing, the invisible hand to clamp down the truth of Chinese mobile phone companies. According to informed sources, on the one hand, Qualcomm disagreed to reduce the cost of CDMA patents, and on the other hand insisted on negotiating separately with specific companies and licensing separately, rather than collectively negotiating with TD Alliance, TD-SCDMA patents did not receive reasonable returns, long-term In a situation where people are free to use.

Qualcomm's patent fees account for most of the gross profit of mobile phone manufacturers

According to industry insiders, the gross profit margin of a mobile phone is only 10%. In the fierce market competition, the gross profit margin of many mobile phones produced by many manufacturers is only 6%, but 5% of the profits are levied by Qualcomm. The high and unequal patent licensing fees levied by Qualcomm against Chinese companies have finally caught the attention of the national government, and the investigation has come.

However, while foreign companies represented by Qualcomm levy high patent license fees on Chinese local enterprises in the name of intellectual property protection, the intellectual property rights independently researched and developed by Chinese local enterprises are long-term without many authorizations from domestic and foreign manufacturers. Free to use, especially in mobile communication technologies such as TD-SCDMA and TD-LTE.

TD-SCDMA is free for a long time

As we all know, TD-SCDMA is an international standard for wireless communication with independent intellectual property rights in China, which is widely accepted and recognized internationally. It is a 3G standard formulated by China, and the formulation of TD-SCDMA standard is also an important milestone in the history of China Telecom. As a leader in the development of TD-SCDMA standards, Datang Group has been promoting the development of the TD-SCDMA industry since it submitted its contributions to the ITU in June 1998. Together with numerous industry operators and equipment manufacturers, Datang Group has built a complete TD-SCDMA industry chain.

Although Datang Telecom has sufficient intellectual property advantages in the TD-SCDMA standard, it does not form a monopoly position in the CDMA field like Qualcomm. At the same time, considering the survival of downstream enterprises in the industrial chain, it is necessary to prevent foreign patent holders from taking advantage of the situation. The attack on the TD-SCDMA standard has not been "industrialized", resulting in long-term acquiescence to the free use of many chip manufacturers and terminal industry chains including Spreadtrum, MTK, Marvell, etc., and Datang never got The additional priority rights of TD technology patents, let alone the patented “gold absorbing device” similar to Qualcomm.

With the maturity of the TD-SCDMA standard and the gradual improvement of network construction, mobile terminal products adopting the TD-SCDMA standard are widely welcomed in the market. According to statistics, the total number of TD-SCDMA users has exceeded 200 million, and the proportion of users accounts for nearly 50% of the total number of 3G users nationwide. The sales of TD-SCDMA terminals have increased the sales of mobile phone manufacturers such as Samsung, which have a large share of the market, and they all use the chip platform solution based on Datang's free patent technology. The main profit of the products has entered. The pockets of these mobile phone manufacturers, in other words, the enterprises that are mainly based on Datang have invested a lot of technical standards set by manpower, material resources and financial resources. It seems that they are making wedding dresses for others. The patents have not made Chinese companies profit or play. To balance the role of competitors, the "live Lei Feng", which has been used for many years, is a set of sayings, which makes people "very speechless."

When the patent is in a two-way "loss" situation, when will the situation change?

In the 2G/3G era, China's terminal manufacturers, when it comes to using CDMA technology, need to pay a high patent license fee to Qualcomm, while foreign companies are completely free when using TD-SCDMA technology patents. This situation has been around for a long time. As early as in the 2G era, according to relevant data, in the 2G mobile communication market, due to the lack of core technology patents, Chinese equipment and mobile terminal manufacturers paid foreign patents as a percentage of sales revenue of 10-15%. Domestic equipment and mobile terminal companies have not only long endured the monopoly of foreign manufacturers' patents, but also because of the "lock-in effect", Chinese companies that have adopted specific technical standards have to succumb to the other party's asking price in the after-the-fact patent negotiations.

In the early stage of 3G commercialization, in order to promote the development of TD industry, TD Industry Alliance had negotiated with Qualcomm on patent issues, but on the one hand Qualcomm did not agree to reduce CDMA patent fees, on the other hand insisted on negotiating separately with specific enterprises and licensing separately. Instead of conducting collective bargaining with the TD Alliance, the negotiations failed to succeed. Qualcomm has always been arguing over patent licensing issues. As early as 1997 and 1998, CDMA technology patents were associated with Ericsson (11.88, -0.16, -1.33%) and Nokia (7.03, -0.24, -3.30). %) conducted long-term patent litigation and counter-suits.

TD-SCDMA technology is one of the three major 3G standards recognized by the International Telecommunication Union. It is the result of long-term research and efforts of China's telecommunications companies, including Datang Telecom. It is an advanced technology with independent intellectual property rights. However, on the one hand, we invested a lot of resources and energy to foster the development of the TD-SCDMA industry chain. On the one hand, we failed to form effective negotiations with international patent giants and overseas mobile phone giants, resulting in TD-SCDMA patents without reasonable returns. In a situation where people are free to use.

This two-way loss situation is distressing, and people can't help but ask: When will the status of unfair patent use change? How long does the TD patent live Lei Feng have to do? In the era of 4G, are we still going to continue to make wedding dresses for others? The TD patent issue is worthy of deep thinking, and it is also in urgent need of the attention of relevant government departments and TD alliance companies.

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