Huawei sues to block Motorola's wireless network sale to Nokia Siemens

Huawei sues to block Motorola's wireless network sale to Nokia Siemens

Summary: Huawei Technologies on Monday filed a lawsuit to stop the sale of Motorola's wireless network unit to Nokia Siemens.

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Huawei Technologies on Monday filed a lawsuit to stop the sale of Motorola's wireless network unit to Nokia Siemens.

The China-based network equipment provider said Nokia Siemens Networks' $1.2 billion purchase of Motorola's wireless network business was an illegal transfer of Huawei's intellectual property.

The problem is that the Motorola sale to Nokia Siemens paved the way for the company's breakup. Motorola shareholders walked away with ownership in two companies: Motorola Mobility and Motorola Solutions.

In a statement, Huawei said it had a partnership with Motorola since 2000 to cover radio access and core network equipment. Motorola resold Huawei wireless gear under its brand. Huawei said Motorola had access to "confidential Huawei IP developed by Huawei's team of more than 10,000 engineers."

Since Motorola sold its wireless networking business to Nokia Siemens (NSN), Huawei said it "has tried to ensure that Motorola does not transfer this confidential information to NSN."

"Motorola, however, has not responded with assurances that it will prevent disclosure of that information to NSN. If Huawei's proprietary commercial property and information is transferred to a third party, Huawei will suffer irreparable commercial damage," said Huawei.

Motorola's lack of response sparked the Huawei lawsuit.

huawei

Topics: Nokia, Mobility, Networking, Wi-Fi

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3 comments
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  • RE: Huawei sues to block Motorola's wireless network sale to Nokia Siemens

    A Chinese company (and Huwaei especially) suing an American company for breach of IP rights ?!?! Pot...kettle... black anyone? The irony is delicious. At least NSN bought the chunk of Moto that owned the access rights to the products, and thereby also inherited the restrictions of the contract. Cf: http://www.zdnet.co.uk/news/it-strategy/2003/03/26/huawei-admits-copying-cisco-code-2132488/
    zaphid
    • Well, zaphid,

      if you expect Chinese firms to play by US rules, you have to allow them to sue when a US company breaks these rules - what's sauce for the goose and all that sort of thing. The only problem is that they, too, will end up with more lawyers working for them that engineers, and as usual, it will be us consumers that have to pay those salaries....

      Henri
      mhenriday
      • RE: Huawei sues to block Motorola's wireless network sale to Nokia Siemens

        Telecom business is highly competitive and many technologies are alike... Chinese companies are coming up, copy cat or not they eventually will come on top.

        @taimimin
        taimimin