Printed from http://www.electronista.com

Nokia, Samsung extend patent licensing deal for five more years

updated 10:32 am EST, Mon November 4, 2013

Samsung payment to Nokia for patent licenses to be determined in 2015

Nokia has made an agreement with Samsung which lets the Korean manufacturer license part of Nokia's patent portfolio for five more years. The extension to an existing patent licensing deal, revealed today by Nokia, will allow Samsung to avoid any potential lawsuits from Nokia in the future, and at the same time provides Nokia with funds after it sells off its mobile device arm to Microsoft.

The new agreement renews the existing one for a five year period, one that would have expired at the end of this year. The new deal will cover five more years from January 1st 2014 onwards, though how much Samsung will pay is yet to be determined. The statement reveals that the amount itself will be "settled in a binding arbitration which is expected to be concluded during 2015.

"This extension and agreement to arbitrate represent a hallmark of constructive resolution of licensing disputes, and are expected to save significant transaction costs for both parties," notes Nokia chief intellectual property officer Paul Melin. Samsung is keen to avoid paying out for patent infringement, and has seen the high cost such legal action can have, with the company famously being forced to pay $1.05 billion in damages to Apple last year.

Once Nokia sells off its device section to Microsoft, it will be relying more heavily on its extensive portfolio of patents for revenue. ZDNet notes that it receives approximately 500 million euros ($675 million) per year in patent revenues, which will increase by 1.65 billion euros ($2.23 billion) as part of a 10-year deal with Microsoft once the sale goes through.



By Electronista Staff
Post tools:

TAGS :

toggle

Comments

Login Here

Not a member of the MacNN forums? Register now for free.

toggle

Network Headlines

toggle

Most Popular

Sponsor

Recent Reviews

Asus Chromebook C300

When Chromebooks hit the market back in 2011, consumers didn't know what to do with them. The low-cost laptops, powered by Google's Ch ...

Plantronics BackBeat Pro Bluetooth headphones

Looking for a pair of headphones that can do everything a user requires is a task that can take some study. Trying to decide on in-ear ...

Lemur BlueDriver

"Oh no, the check engine light is on…again! What one of the hundreds of reasons could it be this time? Probably going to cost a fort ...

Sponsor

toggle

Most Commented

 
toggle

Popular News