Alphabet Inc.’s Google has agreed to a patent licensing deal with Tencent Holdings Ltd., covering a broad range of products and technologies, Reuters reports.
Under the cross-licensing agreement, two of the world’s largest corporations are open to deeper collaborations on developing future technologies. The companies did not disclose the scope and financial terms of the deal.
“By working together on agreements such as this, tech companies can focus on building better products and services for their users,” Mike Lee, Google’s head of patents, said in a statement.
The agreement is a typical industry arrangement between corporations. Google has signed similar deals with Samsung Electronics, LG Electronics and other tech firms, but the deal with Tencent is a first with a large Chinese tech firm, Reuters said.
“The agreement may smooth the US company’s business in China while helping Tencent’s push to expand beyond its dominant position on the mainland,” Bloomberg said.
Google is looking for ways to rebuild its presence in the world’s second-largest economy where many of its products, such as App Store, search engine and email service, have been blocked by since 2010.
– Contact us at [email protected]