New agreement between Apple and Nokia. Apple will be able to continue to use some of Nokia’s patents in the coming years as well.
Apple and Nokia have signed a long-term patent licensing agreement that will give Apple access to Nokia’s inventions related to 5G and other technologies.
The two companies had a previous licensing deal that was set to expire at the end of 2023, and the new deal will replace the expiring one. Nokia and Apple have not announced terms of the deal, but we do know that Nokia will receive several payments from Apple.
Nokia owns more than 20,000 patents, including 5,500 patents related to 5G technology. The company offers its patents on fair, reasonable and non-discriminatory (FRAND) terms because many of them are considered essential. This means that companies can license Nokia technologies at a reasonable price, but there are sometimes disputes over the definition of ‘reasonable’.
In 2017, Apple and Nokia struck a new patent licensing deal following a heated legal dispute. The revenues related to the latest deal between Nokia and Apple will be reflected in Nokia’s earnings in the first quarter of 2024.
