Nokia and HTC have finally ended their patent war with a patent and technology collaboration agreement.
The full terms of agreement, including actual details on what is included, are confidential. Even so, it was revealed that the Taiwanese manufacturer of smartphones and tablets will pay off Nokia to license its LTE patent portfolio, thus further enhancing the Finnish company's licensing offering. The two companies are also expected to explore potential technology partnership opportunities.
"We are very pleased to have reached a settlement and collaboration agreement with HTC, which is a long standing licensee for Nokia's standards essential patents. This agreement validates Nokia's implementation patents and enables us to focus on further licensing opportunities," said Paul Melin, chief intellectual property officer at Nokia, in a press release.
HTC General Counsel Grace Lei, too, seemed pleased with the outcome of the dispute as it would let her company devote much of its time working on innovation for their customers. She even commended Nokia for having one of the finest patent portfolios in the technology industry.
The agreement gives the impression of a better future for Nokia. Amidst ongoing talks about Microsoft's acquisition of Nokia's devices and services division, Nokia still has control over its patent portfolio, and it seems like it will use patent licensing to generate more revenue.
The deal between Nokia and Microsoft includes a license to Nokia's patent, so when asked if Microsoft will also receive a license to HTC's LTE patents or any forthcoming patents between HTC and Nokia, a representative for the latter declined to comment, telling GeekWire that the details of the agreement are confidential.
In December 2013, U.K has banned HTC from selling its One Mini smartphone after a court ruling that the company has infringed a microchip patent used by Nokia Corp.
