Nokia has inked a deal with Samsung to licence patents covering its innovations in video standards.
Both the companies did not disclose the financial terms of the agreement. Samsung will make royalty payments to Nokia.
Nokia’s patent portfolio is composed of around 20,000 patent families, including over 3,500 declared essential to 5G.
Samsung signed this deal after rival Ericsson filed a lawsuit in the United States against it in a dispute over royalty payments and patent licenses.
Last month, the US International Trade Commission said that it would open an investigation after Ericsson claimed Samsung had infringed on some of its patents in 4G and next-generation 5G wireless cellular communications infrastructure systems.
Samsung was accused of “violating contractual commitments to negotiate in good faith and to license patents on Fair, Reasonable and Non-Discriminatory (FRAND) terms and conditions.”
Many common technological standards, such as Wi-Fi and Bluetooth, are protected by patents held by specific companies. In order for other manufacturers to use such essential technology, the holders of such patents are obliged to grant licences on fair, reasonable and non-discriminatory terms – so-called FRAND terms.
In practice, however, negotiations over these licences sometimes leads to conflicts between technology companies.
