Apple and Nokia settle for an undisclosed amount

Apple and Nokia settle for an undisclosed amount
Apple is now in the clear regarding Nokia's patent lawsuits, since it just settled for a one time lump sum, as well as ongoing royalties for some of the mobile phone patents that Nokia is holding, for the term of the agreement. 

Nokia’s demands ranged from touch user interfaces, through multitasking, data syncing, signal noise suppression, positioning and on-device application stores, for all of which it has had patents before Apple introduced the iPhone in 2007.

Nokia has maintained a huge R&D department for two decades now, spending on it about $3 billion a year on average for that period. The Finns have filed for and been granted more than 10 000 patent families, so this is a win for Apple as well, since it's hard not to infringe on such a broad array, if you are in the mobile business. Now it's time for Google to hurry up with the bidding for Nortel's patents

The juiciest part of the deal - the cash amount, as well as the royalties settlement - remain "confidential", but Nokia just issued a press release that both parties have withdrawn their counterclaims with the International Trade Commission (ITC):

"We are very pleased to have Apple join the growing number of Nokia licensees. This settlement demonstrates Nokia's industry leading patent portfolio and enables us to focus on further licensing opportunities in the mobile communications market.", clarified Nokia's CEO Stephen Elop.

This sentence in the press release is a head-scratcher: "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."

Why issue a dire profit warning, sending your share price in the doldrums when you know that your stock will receive a nice little boost in just two weeks from settling a huge patent litigation case with a cash-rich company like Apple? After all, the Finns knew this was coming when the ITC sided with Nokia against Apple in April. We should know more next month when Nokia releases its quarterly, but Nokia's share price will probably do well today. Now who bought call options betting on a turnaround in the last two weeks?

source: Nokia

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24 Comments

1. OsirisRa

Posts: 46; Member since: Dec 17, 2010

At least one thing went Nokia's way this time around. Hopefully Elop capitalizes on the decision and the Nokia N9 is released this month.

2. IOS5 unregistered

Cool if Apple Nokia and Microsoft deal together google will die!

9. protozeloz

Posts: 5396; Member since: Sep 16, 2010

its not a deal... this just means apple has to pay Nokia some $$$ with their agreement with Microsoft, I think they may still rivals.... if I'm not mistaken they even sided up with HTC once..... cant confirm this if someone remembers I'll gladly appreciate it ohh and long time no see

3. Sniggly

Posts: 7305; Member since: Dec 05, 2009

Wait...you mean that Apple HASN'T invented everything?!?! Now if only they'll withdraw their other bullshit lawsuits against Motorola, Samsung and Google.

6. iwebdroidberry7

Posts: 230; Member since: Jan 17, 2011

You. Are. A. Troll.

8. Sniggly

Posts: 7305; Member since: Dec 05, 2009

Am I allowed to crack the occasional joke without being labelled a troll? This is hurtful.

4. Dave unregistered

I thought Nokia was making an announcement to release next product with iOS 5 an WP 8.

5. The_Miz

Posts: 1496; Member since: Apr 06, 2011

Lol, Nokia's so desperate that they decided to sue Apple for money. Too bad Apple will easily make that back while Nokia is still failing big time. No one cares about SymbianOS. It's a joke.

10. protozeloz

Posts: 5396; Member since: Sep 16, 2010

well if we go speaking that way then apple is so desperate that is suing Samsung HTC Motorola and many other for money for patterns like color icons and shit....

12. The_Miz

Posts: 1496; Member since: Apr 06, 2011

Either you're blind or just stupid. Go look at Samsung's phones and see how close they are to copying the iPhone. Apple makes good phones, Samsung makes crap.

14. jroc74

Posts: 6023; Member since: Dec 30, 2010

Read your orig post, read his reply... And rethink that blind or just stupid comment you just made.

18. protozeloz

Posts: 5396; Member since: Sep 16, 2010

for you its alright to when appple defends its intellectual property but its a "desperate act when Nokia does the same " to me this is the same POS companies litigating over patents that where either never used or just ridiculous, but to you its alright when one does it and not alright when the other does it , but wait you said Samsung but what about HTC? or Motorola I don't see the droid or HCT looking like an iPhone... also who are you to say Samsung makes crap and apple makes good phone? Samsung makes most important parts for the iPhone then those parts are crap too making your phone crap too Samsung Its such a POS that it bay become the king on the Smartphone market. http://www.phonearena.com/news/Samsung-to-soon-bec ome-the-globes-biggest-smartphone-maker_id19532 so much for a piece of crap phone right?

15. AppleFUD unregistered

Yeah, it's easy to have the highest profit margin on your iDevices when you steal everyone's IP and don't pay any licensing fees. . . iCopycat

7. TDroid21

Posts: 70; Member since: Apr 04, 2011

Interesting. Samsung can laern a thing or two from this case and use it against apple..

11. iami unregistered

Im starting to wonder if Apple invented anything in there Iphone. The hardware is mostly Samsung and not most of the software is Nokia. Im glad Nokia gets a little bit for every iphone sold then. Apple is good at stealing others ideas and taking credit for them. The do it with harware software and Apps. Crazy what money can help you get away with an shush others up.

13. jroc74

Posts: 6023; Member since: Dec 30, 2010

I think that antenna was Apple's and Apples alone....I could be wrong tho.

16. AppleFUD unregistered

lol. . . that was just the design. Yes, they were stupid enough to design an antenna into metal that people would touch--something anyone that grew up with rabbit ear antennas knows not to do. . . guess Steve forgot about that. they do design their own junk. . . though the design ideas are as borrowed as every other ideal they use to make their stuff and claim they innovated. That wouldn't be so bad if they would just STFU about it all the time and stop acting like they invented the universe and everything in it.

17. gallitoking

Posts: 4721; Member since: May 17, 2011

wow it seems that you are well informed oneverything that Apple does.... and worst... u take it to the heart... let me tel u abouyt one word advertising... ok lots of products u see on tv dont quite are what they advertise as.. so dont be a child... and go order me a big mac .. and i want it just like the picture.. u hear...

19. jroc74

Posts: 6023; Member since: Dec 30, 2010

edit.....

23. AppleFUD unregistered

don't make comments when you're stoned. . . they are illegible. Tell me that Steve Jobs doesn't get on stage at Apple events and talk smack about competitors. Tell me their fans don't do the same because of that. Tell me that jobs doesn't act like they innovated and invented everything and everyone else has copied them but they they only innovate and invent. There's a reason the stereotypes of RDF, cult of apple/jobs, etc. abound. It's starts with Jobs' holier than thou attitude. fyi. . . it's hard not to know everything about apple. every site published a butt ton about anything and everything they do, might do, rumored to do, etc. . .

20. CLINTONW25

Posts: 38; Member since: Jun 14, 2011

i cnt believe apple lmao they aint shit with out somebody they can steal ideas from...NOKIA ALL DAY BABY LOL

21. ps unregistered

Nokia will get 4,40€ from every iPhone sold this day forward. And rumors say that the lump sum was 500 million

22. 530gemini

Posts: 2198; Member since: Sep 09, 2010

As usual. Fagdroids pretending not to know the whole story.Apple never claimed to have invented these features. Apple never claimed that they never wanted to pay Nokia for licensing fees. Apple just wanted to pay Nokia the fees under FRAND for those said features just like everyone else. But Nokia was asking beyond that, and wanted some of Apple's patents as well. That's the reason why this lawsuit came about. It's not that Apple does not want to pay or claims that they invented those features, but they just wanted to pay the fair price. Hence, the settlement. Which allowed Apple to only pay what they're supposed to. You fagdroids didn't know that? I thought you guys read all articles about Apple. I'm suprised you guys didn't read that part. Or maybe your selective memories just kick in automatically :)

24. Sniggly

Posts: 7305; Member since: Dec 05, 2009

I don't know what you may happen to be right about in your post, and I don't care. Your continued homophobia completely invalidates your opinion.

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