Shenzhen-based Huawei Technologies announced on Tuesday that it will charge mobile phone manufacturers royalties for using its patented 5G technology.

The company released a white paper on innovation and intellectual property (IP) at its headquarters in Shenzhen on Tuesday, stating that it has become one of the largest patent holders in the world thanks to its sustained investment in innovation.

For each 5G multimode smartphone, the company will provide a reasonable royalty rate on the sale price of the phone and a royalty cap of $2.50 per unit, said Jason Dean, head of Huawei's intellectual property rights department.

This price is lower than some of Huawei's competitors, including the Finnish telecom company Nokia.

Nokia has licensing rate for its 5G SEP (standard essential patent) portfolio at around €3 ($3.58) per device. Ericsson also charges from $2.50 to $5 per device. Around 15 other companies also have their cut (Including Apple).

“We want to showcase our history of innovation over the past 30 years and our long-term commitment to respect, protect and contribute to IP. Through this white paper, we want you to better understand how Huawei became what it is today, ”said Song Luping, Huawei's General Counsel.

Huawei has filed the most international patent applications in this industry. He says his technology is used in all 5G phones.

It is horrible to watch. As in any socialist country any parasite getting money such way must be publically executed.