After an ongoing patent dispute between Apple and Nokia, with both companies suing the other for infringement, a decision has been made. Apple has agreed to a multi-year patent licensing deal with Nokia, which resolves the two lawsuits in one go.
An exact figure has not been released, by Apple have confirmed they will pay Nokia an undisclosed amount with the promise of future revenues for Nokia presumably derived from Apple’s use of its patents. Revenue is expected to be recognized in the second quarter of 2017.
Maria Varsellona, chief legal officer at Nokia, responsible for Nokia’s patent licensing business gave a statement:
“This is a meaningful agreement between Nokia and Apple,” she continues to say how “It moves our relationship with Apple from being adversaries in court to business partners working for the benefit of our customers.”
The lawsuit brought by Apple against patent assertion entities (PAEs) acting on Nokia’s behalf said Apple had used the patents on fair and reasonable terms (also called FRAND). It had accused these PAEs of “conspiring with Nokia in a scheme to diffuse and abuse such patents and, as the PAEs and Nokia fully intended, monetize those false promises by extracting exorbitant non-FRAND royalties in ways Nokia could not”.
The new found friendship enables Nokia to provide Apple with some network infrastructure services under a business collaboration agreement. In return, Apple will once again offer Nokia’s digital health products in its retail and online stores after it pulled them during the legal dispute.
Top execs from the firms will keep the relationship on track, they claim, as the companies explore further collaboration on digital health.
“We are pleased with this resolution of our dispute and we look forward to expanding our business relationship with Nokia,” said Jeff Williams, Apple’s chief operating officer.