Qualcomm and Chinese smartphone and Internet company Xiaomi have entered into a new 3G and 4G China patent license agreement.

Under the terms of the agreement, Qualcomm has grantedXiaomi a royalty-bearing patent license to develop, manufacture and sell complete 3G and 4G, including 3-mode, devices.

The royalties payable by Xiaomi “are consistent with the terms of the rectification plan submitted by Qualcomm to China’s National Reform and Development Commission,” said the California-based global telecom giant.

“A license from Qualcomm will play an important role in helping us bring the newest and most innovative products to our growing customer base,” the Chinese company said in a statement.

Since it began operations in 2010, Xiaomi has launched products in Taiwan, Hong Kong, Singapore, Malaysia, the Philippines, India, Indonesia, India and Brazil and, last year, sold more than 61 million handsets last year.

“Qualcomm is committed to the success of its partners in China as they continue to grow their businesses and we are pleased to reach this new agreement with Xiaomi,” said Qualcomm President, Derek Aberle. “We work closely with our partners, such as Xiaomi, to push the boundaries of what’s possible and drive the advancement of the mobile industry.”

San Diego-headquartered Qualcomm focuses on the development of 3G, 4G and next-generation wireless technologies and operates with subsidiaries handling substantially all of the parent company’s engineering, research and development functions, as well as its products and services businesses, including its semiconductor business, QCT.