“This extension and agreement to arbitrate represent a hallmark of constructive resolution of licensing disputes, and are expected to save significant transaction costs for both parties,” Paul Melin, chief intellectual property officer at Nokia, said in a statement.
No information has been divulged as to what patents covered in the agreement are, nor is there any information about how much Samsung will be paying for the renewal. All we do know is that the South Korean company will pay “additional compensation” to Nokia. According to reports, the price will be determined through binding arbitration that is expected to conclude in 2015.
Nokia is selling its mobile hardware business to Microsoft, but will be holding on to its massive patent portfolio, networking gear and mapping unit.
Nokia is wise to hold on to its patent portfolio as its intellectual property revenue will help the company stay afloat in the coming years.
Last year, Nokia launched patent suits against BlackBerry, HTC, and ViewSonic for allegedly infringing 45 of its patents. BlackBerry and Nokia later announced a settlement last December, which entails the Canadian company paying more than $65 million to Nokia, as well as a deal to legally use the patents. ViewSonic and Nokia announced a partial settlement back in June, wherein standard essential patents were licensed. As for HTC, the Taiwanese company recently lost in the patent brawl and Nokia is now seeking to ban its flagship phone the HTC One from being sold in the UK.