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Photo courtesy of Yonhap News |
[Alpha Biz= Paul Lee] Samsung Electronics has been ordered to pay approximately $392 million (KRW 576 billion) in global wireless technology patent licensing fees to ZTE, following a ruling by a UK court.
According to Reuters on May 1 (local time), the High Court in London determined the lump-sum payment based on what it deemed fair, reasonable, and non-discriminatory (FRAND) terms. Judge Richard Meade concluded that the amount appropriately reflects global licensing standards.
The court-set figure exceeds Samsung’s proposed maximum of $200 million but is significantly lower than ZTE’s demand of $731 million, effectively landing near the midpoint between the two positions.
The dispute dates back to failed negotiations over renewing a patent licensing agreement signed in 2021. Samsung filed the case in the UK in December 2024, seeking a court determination on appropriate royalty rates, relying on a 2020 UK Supreme Court precedent that allows British courts to set global licensing terms.
ZTE has simultaneously pursued legal action in China, requesting a separate ruling on global patent terms. As a result, there remains the possibility of conflicting decisions between jurisdictions, highlighting intensifying competition between UK and Chinese courts over influence in global telecom patent disputes.
AlphaBIZ Paul Lee(hoondork1977@alphabiz.co.kr)
