Qualcomm to license patents to Chinese mobile phone maker Xiaomi

(Reuters) - Chipmaker Qualcomm Inc signed a licensing pact with Xiaomi Technology Co Ltd [XTC.UL] that allows the Chinese smartphone maker to use its patents to make and sell 3G and 4G devices. Xiaomi has enjoyed a rapid rise with handsets it touts as cheaper but well-designed alternatives to Apple Inc's iPhones. Shares of Qualcomm rose 6.8 percent to $52.65 in early trade on Wednesday.