Nokia and HTC announced on Friday that they will no longer be fighting over patents, after several disputes in courts around the world.
They have dropped all pending patent litigation and have entered into a patent collaboration agreement. Details of the collaboration aren't being shared, simply being called confidential. Nokia and HTC will "explore future technology collaboration opportunities" in the future, as well.
“We are very pleased to have reached a settlement and collaboration agreement with HTC, which is a long standing licensee for Nokia’s standards essential patents,” said Paul Melin, chief intellectual property officer at Nokia. “This agreement validates Nokia’s implementation patents and enables us to focus on further licensing opportunities.“
In December, HTC was temporarily ordered to cease UK sales of HTC One mini in a patent case brought forth by Nokia. An injunction on the HTC One was also looming. Under the agreement announced on Friday, HTC will make payments to Nokia and the collaboration will involve HTC’s LTE patent portfolio.
“Nokia has one of the most pre-eminent patent portfolios in the industry,” said Grace Lei, general counsel of HTC. “As an industry pioneer in smartphones with a strong patent portfolio, HTC is pleased to come to this agreement, which will enable us to stay focused on innovation for consumers.”
The agreement could indicate HTC was having a hard time winning against Nokia in court. In December the company told Pocket-lint: "We will continue to work with our chip suppliers on alternative solutions to ensure minimal disruption to our business in the future." It has found that solution through cash payments.
Patent agreements have become the new fad in the technology industry. In January, Samsung and Google struck a ten-year agreement to share each other's patents, and Samsung struck up a similar deal with Cisco, too.