Published: July 6, 2017
Publication: IAM
“Yesterday, Nokia announced a patent cross-licence and sale agreement with Chinese smartphone maker Xiaomi, which it said was part of a broader business cooperation agreement. No financial terms were disclosed, but we know that both sides will get a multi-year licence to wireless SEPS, and that the Chinese company will acquire some of Nokia’s patent assets outright.
At first glance, the deal looks similar to the one Xiaomi struck with Microsoft a little more than one year ago. Both agreements include a broad licence, a patent transfer and the establishment of a business relationship outside of the IP space (in its Microsoft hook-up Xiaomi agreed to pre-install Skype and Office on phones and tablets). Though Nokia is a substantially different company to Microsoft, the fact that it has used a similar template is a testament to the fact that in China especially, you often need much more than a portfolio of SEPs to conclude a major licensing deal – a focus on securing win-win outcomes is vital. Below are some key takeaways from the announcement.”