Nokia and Qualcomm bury the hatchet

Companies settle all litigation under new agreement

Nokia has agreed to withdraw its complaint to the European Commission

Nokia and Qualcomm have put aside their differences and reached an agreement which will result in a settlement of all litigation between the companies.

The agreement includes the withdrawal by Nokia of its complaint to the European Commission, as well as a new deal covering various standards including GSM, Edge, CDMA, WCDMA, HSDPA, OFDM, WiMax, LTE and other technologies.

Under the terms of the new 15-year agreement, Nokia has been granted a licence under all Qualcomm's patents for use in Nokia mobile devices and Nokia Siemens Networks infrastructure equipment.

"We believe that this agreement is positive for the industry, enabling the market to benefit from innovation and new technologies," said Olli-Pekka Kallasvuo, chief executive at Nokia.

As part of the deal, Nokia has agreed not to use any of its patents directly against Qualcomm, which enables Qualcomm to integrate Nokia's technology into its chipsets.

The specific terms were not revealed, but the settlement includes an up-front payment and ongoing royalties by Nokia to Qualcomm. Nokia has also agreed to assign ownership of a number of patents to Qualcomm.

"I am very pleased that we have come to this important agreement," said Paul Jacobs, chief executive at Qualcomm.

"The terms of the new licence agreement, including the financial and other value provided to Qualcomm, reflect our strong intellectual property position across many current and future generation technologies."