14 DAY TRIAL // As expected, Research In motion (RIM), has renewed its agreement with Nokia for patent licenses. This news probably doesn't really come as a surprise to anyone, especially since this deal has been standing for many years now, having worked out just great for both companies so far.
The Finnish manufacturer is the leader in wireless innovation, as most of you are probably already aware, while also coming in first when it comes to developing GSM and WCDMA technologies. However, to reach such a degree of knowledge and influence in the industry, Nokia has been working hard since the beginning of the 1990s and, thus, it has built for itself the most impressive IPR portfolio ever seen. The probability for another company to take its place in the development of these technologies is very slim – without even mentioning that, for some years, Nokia has already secured the top spot in the industry charts.
As you can imagine, such an accomplishment was not an easy task, and Nokia invested more than $35 billion only in researching and developing its patent portfolio. After considering the amount of time constantly put in by Nokia, it's crystal clear that its current position is earned and much deserved. At the moment, Nokia's portfolio includes 300 GSM, 370 WCDMA and 170 CDMA2000 declared essential patent families, by far the most numerous and most relevant patent families existent.
The agreement signed with RIM concerns the worldwide use of essential patents, mostly the standard ones for GSM, WCDMA and CDMA2000 technologies. As for the profits Nokia stands to make, they are represented by an upfront payment and other royalties payable for a duration stipulated in the agreement.
“Today's announcement demonstrates the success of Nokia's increased focus on patent out-licensing. This agreement confirms Nokia's leading role in developing key technologies and the value of our patent assets.” Vice President of Intellectual Property Rights for Nokia, Ilkka Rahnasto, stated.
Should you wish to consider Nokia’s magnitude in the industry, you should know that, besides being the leader in the transformation and innovation of mobile patents and mobile industry altogether, the Finnish giant also focuses on providing equipment and service solutions for communication networks, through its Nokia Siemens Networks.