Former Finnish mobile phone front-runner Nokia has announced that it was able to reach a settlement with South Korea's Samsung regarding the company's patent business on Monday, according to IBN Live News.
With the settlement, Nokia's patent business, which has remained active even after its once-dominant mobile phone unit was sold to Microsoft, would have its revenue significantly boosted to about $1.1 billion in 2015, compared to the $628 million the company earned in 2014.
Nokia started its arbitration with Samsung back in 2013, in order to settle additional compensation for the Finnish company's phone patents, which remained under Nokia's name even after the cellphone unit's sale to Microsoft.
Ramzi Haidamus, the head of Nokia Technologies, is optimistic about the agreement.
"The use of independent arbitration to resolve differences in patent cases is a recognized best practice, and we welcome the additional compensation payable to Nokia under the extended agreement," he said, according to Pan Armenian News.
Despite the relatively good news, however, investors do not seem to be very positive about the results of the settlement, with some analysts stating that the financial terms of the deal were seen as inadequate.
After the announcement, Nokia's shares plunged more than 10 percent. On the other hand, Samsung, the other company involved in the deal, experienced a surge of 1.1 percent, reports Reuters.
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