14 DAY TRIAL // Microsoft’s Nokia takeover is also experiencing some problems in Korea where a local organization is asking the FCC to revise the terms of the deal amid concerns that Redmond could use patents it buys from the Finnish mobile phone maker to gain an advantage over competition.
According to Ubergizmo, the Korea Electronics Association has submitted a petition to the FCC explaining that the software giant might use the patents for its own products and sell them at bigger prices to competition, which would basically lead to an unfair advantage on the local market.
“As a mobile phone maker, Nokia rarely exercised its patent rights because of its cross-licensing with Samsung Electronics, Apple and the like, but now it can launch patent lawsuits or demand an increase in royalties without any limitation,” Hwang Eun-jeong, Korea Electronics Association’s lawyer, was quoted as saying.
“At the same time, Microsoft can expand its mobile phone business while keeping Samsung and Apple at bay by utilizing Nokia as a sort of cannon fodder.”
The problem with all these discussions is that Microsoft won’t actually purchase all Nokia patents, but only the devices and services division, while the patents will be licensed for a limited period of time.
Of course, Microsoft hasn’t yet issued a statement on the matter, but expect the FCC to clear out the acquisition in the coming weeks.