Nokia Concludes Smartphone Patent License Renewal Cycle

Nokia, the Finnish telecom equipment maker, has recently announced the signing of its final major smartphone patent license agreement, bringing an end to its ongoing smartphone patent license renewal cycle that began in 2021.

While the company has not disclosed the name of the company it partnered with, it revealed that this agreement represents the last major smartphone deal that was still under negotiation.

With this recent deal, Nokia adds to its list of seven major smartphone patent agreements signed within a year. Some of the notable companies on this list include Honor, OPPO, Vivo, Apple, Samsung, and Huawei. These collaborations have contributed to Nokia's growing influence in the smartphone industry.

Following this development, Nokia's licensing business, known as Nokia Technologies, foresees a period of stability as no major smartphone agreements are set to expire in the upcoming years.

Looking ahead, Nokia expects to record catch-up payments totaling over 400 million euros ($430.9 million) in the first quarter of 2024, related to prior periods of non-payment. This aligns with Nokia Technologies' guidance, affirming that it anticipates generating a minimum operating profit of EUR1.4 billion in 2024, which includes the positive impact of catch-up sales.

In conclusion, Nokia's successful completion of its smartphone patent license renewal cycle marks a significant milestone for the company. With its newfound stability and impressive lineup of major agreements, Nokia is well-positioned to solidify its presence in the smartphone market.