In a piece published by Newsweek, C4IP Board Member and former U.S. Ambassador to China Gary Locke explains how, even as Chinese companies debut world-class technologies — like BYD’s lightning-quick EV charger and DeepSeek’s powerful AI model — some Chinese businesses and leaders are undermining the international agreements that underpin global innovation.
Locke points to China’s recent treatment of standard-essential patents (SEPs), which cover universal technologies like Wi-Fi and 5G. Under international agreements, SEP holders must license these technologies on fair, reasonable, and non-discriminatory (FRAND) terms so that businesses around the world can incorporate these technologies into their products.
But Chinese courts and regulators have repeatedly tilted licensing rules to favor their own companies at the cost of foreign innovators, upsetting the balance of this framework.
The problem is especially pervasive in the auto sector, where Chinese automakers underpay for SEP licenses or even effectively boycott paying these fees altogether. Locke warns that this illegal behavior will hurt economic growth and innovation worldwide, including in China.
“If China hopes to help shape the 21st century and steer the global economy, it has to stop acting like a poor developing nation that cherry-picks which international norms it will follow,” he states. “It’s time to recommit to FRAND principles — and reaffirm that every company, regardless of its nationality, must pay its fair share in licensing fees for the technologies we all rely on.”
Read the full op-ed here:
https://www.newsweek.com/former-ambassador-china-cutting-corners-technology-opinion-2076080