Huawei countersues Creative for US$8.2M

Summary:Chinese tech giant Huawei hits back with countersuit against Singapore's Creative and its subsidiary Qmax, over aborted WiMax broadband project.

Chinese tech giant Huawei has hit back against Singapore's Creative Technology with a countersuit over a terminated WiMax broadband project, says a report.

According to news daily The Straits Times on Monday, Huawei filed a defence statement earlier this month and has demanded US$8.23 million in unpaid goods and services. This is on top of compensation for what it claims to be wrongful termination of its contract.

When contacted by ZDNet Asia, Huawei said it was unable to comment on the case. However, a company spokesperson wanted to assure its customers that it viewed the matter seriously. "We will defend any unfounded allegations vigorously and we have faith in the legal process," she added.

Creative declined to comment "in light of the ongoing litigation".

The latest development follows news late last month that Creative had sued Huawei for the return of more than US$9.3 million, over the failure of a project which involved the installation and operation of telecommunications equipment for a WiMax broadband service. This was contracted to Huawei in June 2010.

In Creative's second quarter financial statement released in February, the company had cited failure to network performance as the reason for the project's termination.

Topics: Networking, IT Employment, Legal, Mobility, Wi-Fi

About

Loves caption contests, leisurely strolls along supermarket aisles and watching How It's Made. Ryan has covered finance, politics, tech and sports for TV, radio and print. He is also co-author of best seller "Profit from the Panic". Ryan is an editor at ZDNet's Asia/Singapore office.

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