Nokia Oyj has signed a new multi-year patent agreement with Samsung Electronics enabling the phone maker to use Nokia technology in its products.
The Finnish company said in a statement on Monday that the deal comes after a previous agreement expired at the end of 2022, and covers core inventions in 5G and other technologies. Nokia said Samsung would make payments to Nokia starting January 1, without disclosing further details of the deal, saying the terms were confidential.
“We are pleased to have reached an amicable agreement,” said Jenny Lokander, President of Nokia Technologies. “The agreement gives both companies freedom to innovate, and reflects the strength of Nokia’s patent portfolio, decades-long investment in research and development and contributions to cellular standards and other technologies.”
At Nokia, licensing has become more important over the past decade since it stopped making phones and focused on networking equipment and intellectual property. It continues to rely heavily on royalties from its inventions used in the global smartphone market, but in recent years has begun to expand into other sources of intellectual property revenue, including charging automakers for the use of its innovations.
Nokia, which reports full-year earnings on Thursday, said the agreement was in line with its previously disclosed expectations. In December, Nokia extended its patent licensing deal with Huawei Technologies Co, and has yet to reach an agreement with two other Chinese phone makers, Oppo and Vivo.