Samsung will pay Ericsson $650 million plus royalties to end patent dispute

Samsung will pay Ericsson $650 million plus royalties to end patent dispute
It seems like we can't go too long without news regarding Samsung and patents. Obviously, there has been the ongoing dispute between Samsung and Apple that has been dragging on for years now; and, Samsung and Google just announced a huge cross-licensing deal which could have wide-ranging implications for the mobile ecosystem. Now, Samsung is ready to put its dispute with Ericsson in the past.

According to Ericsson, Samsung has agreed to pay $650 million plus royalties in order to end a patent dispute between the two companies. Samsung had signed a licensing deal with Ericsson back in 2001, and renewed the deal in 2007, but the two sides couldn't agree on a deal when it came up for renewal in 2011. Samsung claims Ericsson was asking a much higher price for the same patent licensing, and refused to sign. That led to a lawsuit by Ericsson covering patents regarding voice transmission, touchscreen functionality, and network efficiency technologies. 

The deal will have Samsung pay a one-time payment of $650 million followed by regular royalty payments of an undisclosed amount. The length of the deal has also not been announced, though analysts say that patent agreements are usually between four and seven years long. 

source: Reuters

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17 Comments

1. Taters

Posts: 6474; Member since: Jan 28, 2013

If Ericsson charged Apple less, which they probably did, it would be extremely disappointing. Funny how everyone gives Apple these crazy discounts, including Samsung, and they try and milk HTC and Samsung for all their worth.

14. darkkjedii

Posts: 30962; Member since: Feb 05, 2011

Man STFU

2. Dowson unregistered

That's why your sammyphone costs like an iPhone and is made of cheap crappy plastic.

4. Ant34

Posts: 193; Member since: Aug 10, 2013

By the sales of their phones most people are not bothered by the plastic including me.

5. rangaha

Posts: 86; Member since: Dec 05, 2013

not too bright, are you

6. PapaSmurf

Posts: 10457; Member since: May 14, 2012

Another user on the site that thinks they can speak for everyone. What OEM shipped the most phones last year and quarter? Thank you.

11. Sreddy unregistered

Samsung paying billions for patents.. copying things, craming into one device, and people things its inovations lol

12. sniperdroid

Posts: 146; Member since: May 23, 2013

Wow, I thought we were done with these kinds of post? Oh well.

3. teja171 unregistered

Ericsson still alive ?

13. the_best

Posts: 139; Member since: Oct 14, 2012

alive and well. They are market leader in network infrastructure building. The business that Nokia has bet all their horses on.

7. Topcat488

Posts: 1415; Member since: Sep 29, 2012

Why Samsung didn't do the same with Apple is beyond me, or maybe the fruit didn't want to settle so easy... But i read here that lately they (Apple and Sammy CEO's) are agreeing more.

8. PapaSmurf

Posts: 10457; Member since: May 14, 2012

Because Apple still believes that their patents are worth $30 and others to be worth pennies. Does that seem fair to you?

15. Kaiser2007

Posts: 173; Member since: Nov 16, 2013

Also because USPTO suck it up to Apple.

9. joey_sfb

Posts: 6794; Member since: Mar 29, 2012

Its all over the news, Apple wants US$30 per device for their design patent while paying one penny for samsung 3g related patent. Bottom line Apple is unwilling to settle in 2011 and 2012 thinking they own the smartphone industry. Now with China OEM smartphone players getting aggressive I think Apple should settle and get some real money from Samsung. Otherwise they will sue and appeal and the cycles goes round and round. Apple can't touch the China OEM if they want to do business in China. The socialist government in China can give Apple a lot of trouble if Apple dare to treat them like Samsung in America.

16. Kaiser2007

Posts: 173; Member since: Nov 16, 2013

I agree with you for the first two, but the last one is a bit overboard. IMO: Apple can bully other OEMs in USA, but outside USA they will have to follow the Rules of Law.

10. Taters

Posts: 6474; Member since: Jan 28, 2013

Lol are you really that clueless? Because Apple patents are bulls**t and these ones are legit. Samsung has never ever had a problem paying for patents, ever. So if Samsung refused to pay Apple it is because they are retarded ones like round corners and packaging. Also why else did you think HTC and others fought them for years before giving in to the pressure from Apple and the US economy. Because those patents never should have been granted in the first place.

17. SijanRozina

Posts: 2; Member since: Feb 19, 2014

Samsumg seems to be not in mood to carry any disputes over patent. Not bad

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