For several years, there has been a courtroom struggle between Nokia and Lenovo. Now, a report from Stockholm by Reuters said that the two companies have laid the multi-year patent fight to rest.
The patent fight has been between Finland’s Nokia, and China’s Lenovo Group, the world’s largest PC manufacturer. The settlement resolves all pending litigation across all jurisdictions, both companies announced today.
Lenovo agreed to pay net balancing money to Nokia, the Finnish telecom equipment maker. However, the terms of the cross-license agreement remain confidential. Even details of the payments have not been disclosed yet.
The legal battle started three years ago when Nokia claimed that there were infringements of 20 video-compression technology patents by Lenovo. There were cases in the United States, Brazil, India, and six other countries.
Apart from this litigation, Lenovo had also sued Nokia in a Californian court. But particularly in Munich, one court ruled that Nokia’s claim was true, saying that Lenovo infringed one of Nokia’s patents. The court went as far as ordering an injunction and a recall of products from retailers. But that order was stayed by a German appeals court.
For Nokia, its patent portfolio is composed of around 20,000 patent families, which include over 3,500 patent families declared essential to the 5G technology standard.
According to John Mulgrew, a chief intellectual property officer of Lenovo, the global accord struck will enable future collaboration between our companies (Nokia and Lenovo) for the benefit of customers worldwide.
Nokia on its own struck a deal with Samsung in March 2021, to license patents covering its innovations in video standards. This type of partnership also shows what is in store for companies that are up for the global accord.