Apple To Pay Nokia One Lump Sum And Finally Settle

It looks like after a  long drawn out battle of years and years of suing and counter suing, Apple and Nokia have finally reached an agreement.  Both companies have agreed to withdraw all complaints against each other and Apple will gear up its wallet to pay out one lump sum to Nokia in addition to paying royalties for the remainder of the agreement.  Nokia’s Stephen Elop had this to say:

“We are very pleased to have Apple join the growing number of Nokia licensees,” said Stephen Elop, president and chief executive officer of Nokia. “This settlement demonstrates Nokia’s industry leading patent portfolio and enables us to focus on further licensing opportunities in the mobile communications market.”

Don’t we wish all settlements could end like this one?  Let us know what you think in the comments below.  Hit the break for the full press release, if you’re a press release kind of person.  

Press Release:

Nokia enters into patent license agreement with Apple

Published June 14, 2011

Apple payments to Nokia settle all litigation and have positive financial impact

Nokia Corporation
Stock exchange release
June 14, 2011 at 08:05 (CET +1)

Espoo, Finland – Nokia announced that it has signed a patent license agreement with Apple. The agreement will result in settlement of all patent litigation between the companies, including the withdrawal by Nokia and Apple of their respective complaints to the US International Trade Commission.

The financial structure of the agreement consists of a one-time payment payable by Apple and on-going royalties to be paid by Apple to Nokia for the term of the agreement.  The specific terms of the contract are confidential.

“We are very pleased to have Apple join the growing number of Nokia licensees,” said Stephen Elop, president and chief executive officer of Nokia. “This settlement demonstrates Nokia’s industry leading patent portfolio and enables us to focus on further licensing opportunities in the mobile communications market.”

During the last two decades, Nokia has invested approximately EUR 43 billion in research and development and built one of the wireless industry’s strongest and broadest IPR portfolios, with over 10,000 patent families.  Nokia is a world leader in the development of handheld device and mobile communications technologies, which is also demonstrated by Nokia’s strong patent position.

This agreement is expected to have a positive financial impact on Nokia’s recently revised outlook for the second quarter 2011 of around break-even non-IFRS operating margin for Devices & Services.

[via bgr]

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  • http://www.telecomgyaan.com Tahera

    So the deal has gone partly in Nokia’s favour…

  • Howie_in_AZ

    This can only turn out poorly for Android.