In an effort to bring more of its products to China, Google has agreed to a patent licensing deal with Tencent Holdings that will allow the two companies to collaborate in the future.
The US company has previously made similar agreements with other large tech firms including Samsung, LG and Cisco but this is the first time that it has done so with a large Chinese firm. These agreements make it easier for Google to operate abroad and the company has noted that they can be useful in reducing potential litigation over patent infringements.
Though neither company has made the financial terms of the deal public, the agreement does cover a broad range of products and will allow the US company and the Chinese social media and gaming firm to collaborate with one another on new technology.
Tencent has a large presence in China when it comes to gaming and the company's popular social media and payments app, WeChat has almost a billion users. By partnering with the Chinese firm, Google will be able to make its products and services available to a wide range of users if it is able to have the government bans on its search engine, app store and email service lifted.
Google's head of patents, Mike Lee praised the agreement with Tencent, saying:
“By working together on agreements such as this, tech companies can focus on building better products and services for their users.”
Google has been working to expand its presence in China over the past year with the launch of an AI research lab in the country and by releasing a localised version of its translation app. The new agreement with Tencent will allow the US company to regain some of the ground it has lost in the ever expanding Chinese market.
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