Nokia has entered into a new patent license agreement with Canada based company Research In Motion (RIM). The agreement will result in settlement of all existing patent litigation between the companies and withdrawal of pending actions in the US, UK and Canada related to a recent arbitration tribunal decision.
The financial structure of the agreement includes a one-time payment and on-going payments, all from RIM to Nokia. The specific terms of the agreement are confidential.
“We are very pleased to have resolved our patent licensing issues with RIM and reached this new agreement, while maintaining Nokia’s ability to protect our unique product differentiation,” said Paul Melin, chief intellectual property officer at Nokia. “This agreement 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 EURO 45 billion in research and development and built the wireless industry’s strongest and broadest IPR portfolio, with around 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 development is very good for both the beleaguered companies which are struggling with their new products and instead of wasting their time on court battles, they will utilize their energies to establish their new products and come out with more innovative and path-breaking products.