UPDATE 1-Huawei CEO says willing to license 5G technology to a U.S. firm

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* CEO says not afraid of creating a rival by licensing out 5G tech

* CEO says offer could also include chip design know-how

HONG KONG, Sept 26 (Reuters) - Huawei Technologies Co Ltd founder and CEO Ren Zhengfei said on Thursday the company is willing to license its 5G mobile technology to a U.S. firm, as it seeks to alleviate security concerns over its products.

Ren told reporters he was not afraid of creating a rival by making Huawei's technology available to competitors, and the offer could also include chip design know-how.

Huawei, the world's largest telecoms gear maker, has been on a U.S. trade blacklist since May over concerns that its equipment could be used by Beijing to spy. Huawei has repeatedly denied such allegations.

The sanctions cut off Huawei's access to essential U.S. technologies. The latest version of its Mate 30 flagship phone, unveiled last week in Europe, will not come with Google Mobile Services.

Ren's remarks come after he said this month that he is open to selling the firm's 5G technology - including patents, code, blueprints and production know-how - to Western firms for a one-off fee.

The offer to license out 5G technology marks the latest attempt by Huawei, also the world's No.2 smartphone vendor, to minimise the impact of the U.S. trade ban. It expects a hit of some $10 billion to revenue from its phone business this year. (Reporting by Sijia Jiang; Editing by Jason Neely and Edwina Gibbs)