Nokia signs new 5G cross-licensing patent agreement with Apple

Although people generally refer to Nokia as a smartphone manufacturer, the company’s advancement in telecommunication networks and especially 5G, have been remarkable. Now, in a recent development, Nokia has announced a fresh long-term patent license agreement with Apple, marking a continuation of their previous cross-patent licensing pact.

The original agreement, which the two companies signed in 2017, provided Apple with specific network infrastructure products and services in exchange for the company resuming the sales of Nokia health products in its physical and online stores. However, as this agreement approached its expiration at the end of this year, the two companies have once again negotiated a new deal.

Terms of the new deal

While the exact terms of the agreement remain unclear, Nokia has confirmed that it will start receiving payments from Apple for several years, beginning in January 2024. And in return, Apple will gain the rights to utilize Nokia’s extensive portfolio of patents, with a particular emphasis on the rapidly evolving field of 5G telecommunications, where the company has invested over 140 billion Euros ($152.9 billion) in research and development. This investment has resulted in a substantial portfolio of 20,000 patent families, including over 5,500 patent families in essential 5G services alone.

Speaking on the agreement, Jenni Lukander, President of Nokia Technologies, stated, “The agreement reflects the strength of Nokia’s patent portfolio, decades-long investments in R&D, and contributions to cellular standards and other technologies.”

However, it is important to note that these essential patents are crucial for the functioning of 5G networks and must be licensed under fair, reasonable, and non-discriminatory (FRAND) terms.

“Companies can license and use these technologies without the need to make their substantial investments in the standards, fueling innovation and the development of new products and services for consumers,” reads Nokia’s blog post announcing the agreement.