Daimler has agreed to pay Nokia for utilizing its patents, ending a row that highlighted a battle between tech and automotive corporations over royalties for key applied sciences.
Nokia, which makes EUR 1.4 billion (roughly Rs. 12,450 crores) in licensing revenues yearly, and carmaker Daimler had sued one another in German courts in recent times, with blended outcomes.
Tech companies need automakers to pay royalties for applied sciences utilized in navigation programs, car communications, and self-driving automobiles however the latter say their suppliers ought to pay as an alternative, which may cut back the charges for patent holders.
The settlement introduced collectively with Daimler on Tuesday marks the newest win for Nokia which in April struck a cope with China’s Lenovo beneath which the world’s largest PC maker would make a internet balancing fee to the Finnish telecoms gear maker and resolve all pending litigation.
That adopted a cope with Samsung the earlier month during which the South Korean firm agreed to make royalty funds for its applied sciences associated to video requirements.
Nokia and Daimler stated that they’d reached a patent licensing deal and also will halt their litigation. The German carmaker has to date by no means paid Nokia for utilizing its patents.
“We welcome the settlement, from an economic point of view and because we avoid lengthy … disputes,” a Daimler spokeswoman stated.
“Under the agreement, Nokia licenses mobile telecommunications technology to Daimler and receives payment in return,” the businesses stated in a joint assertion.
“The terms of the agreement remain confidential as agreed between the parties,” they added.
The finish of the dispute means a German courtroom’s request to the Luxembourg-based Court of Justice, Europe’s highest, final yr for steerage on the problem might be moot.
Audi, Bentley, BMW, Mini, Porsche, Rolls Royce, Seat, Skoda, Volkswagen, and Volvo are already paying patent charges to Nokia.
© Thomson Reuters 2021
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