Letter To Customers

Jan. 16, 2019

We are writing to share an important update regarding our litigation against Hytera Communications Corporation Limited (SHE: 002583) (Hytera). Today we announced that the U.S. ITC’s importation ban and cease-and-desist orders related to certain Hytera products are now in effect. The expiration of the mandatory 60-day presidential review period, which enabled the product ban to become effective, marks a clear and final victory for Motorola Solutions against Hytera.

The ban means that all Hytera products infringing Motorola Solutions’ U.S. Patent Nos. 7,369,869, 7,729,701 and 8,279,991 are excluded from the U.S. market, including the following:

• Radios (Subscribers): MD652, MD782, BD302, BD362, BD502, PD412, PD502, PD562, PD602, PD662, PD682, PD702, PD752, PD782, PD792, PD982, X1e and X1p; and
• Repeaters: RD622 and RD982.

The ITC also rejected Hytera’s request for a repair and service exception, meaning that neither Hytera nor any third-party repair provider will be able to import replacement parts or perform any sort of service for infringing products imported or sold before Jan. 16, 2019. 

As a reminder, Motorola Solutions’ infringed patents cover a variety of innovative technologies in use in today’s two-way radios and repeaters. The patents relate to:

• Motorola Solutions’ Fast Scan technology, which enables a subscriber radio to scan through a list of radio frequency channels quickly to find important transmissions;  
• Motorola Solutions’ Rapid Re-key technology, which ensures that messages are repeated even after a repeater de-keys, thereby significantly reducing message delay and eliminating dropped transmissions; and 
• Motorola Solutions’ TDMA Direct Mode Pseudo Trunking technology, increases the number of calls that can take place and significantly reduces the amount of time it takes to set up a new call. 

Hytera’s assertions that core aspects of its products do not infringe our patents have been clearly disproven. We believe this should be of serious concern to Hytera’s distributors, resellers and, most of all, its customers.

Today’s news is a significant victory for Motorola Solutions against Hytera. Over the last several years, Motorola Solutions has invested significant resources to become a leading provider of two-way radio equipment and systems. As a company, we pride ourselves on innovation, and on behalf of our customers, shareholders, employees and other stakeholders, we will continue to defend our proprietary technology and investments in innovation.

Finally, I want to assure you that Motorola Solutions embraces legitimate competition. In fact, we believe that robust, fair competition drives innovation and benefits our customers and our industry as a whole. However, the infringement demonstrated by Hytera creates an uneven playing field and threatens the industry’s ability to innovate, which ultimately hurts customers. Importantly, there are numerous alternative products on the market, as several other companies supply similar products in the U.S. and around the world. 

We appreciate our customers for standing by us during this litigation and will continue to develop world-class products for you.

Sincerely,

Jack Molloy
Executive Vice President
Products & Sales
Motorola Solutions