Nokia Court Papers claim $1 bln Qualcomm Payments
Posted on Thu, 13 Mar 2008 08:14:54 CDT | by Luigi Lugmayr
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HELSINKI (Reuters) - Nokia has paid Qualcomm around $1 billion over 15 years for
full access to the U.S. chip maker's early mobile technology patents, the
world's top handset maker said in court documents.
Nokia said in a public version of a court filing in Delaware that the patents
are now paid up and royalty-free, according to the terms of 1992 and 2001
agreements with Qualcomm.
Qualcomm was not immediately available for comment.
The companies have been at legal loggerheads since failing to renew a technology
license pact that expired on April 9, 2007. Analysts estimate that Nokia pays
around $500 million a year for use of Qualcomm patents and it wants to reduce
the sum.
Qualcomm has said that by continuing to ship products using its patents Nokia
has agreed to continue on the same terms, but Nokia said in the court filing
that the deals between the two firms say the cross-licensing agreement can only
be extended in writing.
The companies have not disclosed the timeframe of so-called "early" patents,
which stem from Qualcomm's time as the leading developer of CDMA wireless
technology.
CDMA technology, widely used in the United States and some Asian countries,
failed to gain global adoption when competing against European GSM technology --
but it has gained wider adoption in later, third-generation forms.
Nokia and Qualcomm have more than a dozen legal fights pending on three
continents.
Analysts see these cases as efforts by both companies to gain leverage in the
terms of an eventual license-pact renewal. But their expensive legal battles
have worried investors on both sides of the Atlantic.
(Reporting by Tarmo Virki; Editing by David Cowell)
© Copyright 2007 Reuters.
Posted on Thu, 13 Mar 2008 08:14:54 CDT | by Luigi Lugmayr
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