Apple and Nokia end tiff, partners from now on
Now, Apple and Nokia have signed a deal to settle the patent row. According to the deal, Apple will be able to use the concerned technologies and Nokia would receive a deserved cash payment.
Here is all you need to know.
The settlement numbers have not been disclosed
Although, none of the companies have disclosed financial details, Keith Mallinson, an industry analyst at Wiseharbor said, "the agreement is per year, so it's probably in the hundreds of millions of dollars range."
Add to that Apple will now be able to sell Nokia's healthcare products at their retail stores and Nokia would also provide the company with network products and services.
Friends from bitter enemies
Nokia's Chief Legal Officer Maria Varsellona said the agreement "moves our relationship with Apple from being adversaries in court to business partners", while Apple's Jeff Williams said they are "pleased with this resolution of our dispute".
The battle goes as far back as 2009 when both firms were fiercely competitive over the patents of the technologies they used in their mobile phones.
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Each firm had their reason
Hannu Rauhala, an analyst at OP Equities believe that Apple decided to put its foot down because the company's another expensive patent battle with chipmaker Qualcomm has recently escalated.
Inderes analyst Mikael Rautanen said that Nokia's intention to expand the sales of its network equipment beyond telecom operators and tech giants may have significantly influenced the company to settle down outside of court.
All's well that ends well
The Nokia patents in question include technologies that make the phone rely less on hardware components, save battery, increase radio reception, help track a lost phone, improves display and voice recognition, and others.
Investors were pleasantly surprised with the amiable solution as they had expected some ugly twist and turns in the way and as a result, Nokia's shares rose around 8% on Tuesday.
Apple and Nokia Deal