Nokia and Apple have finally settled their patent dispute that had initiated last year. On Tuesday, the companies declared that they are working in collaboration on the promotion of “digital health initiatives“.
It is assumed that Nokia will be receiving a direct cash payment in addition to extra revenues from Apple during the agreement’s term. There has been news that Nokia will have up to 6.7 percent of the shares.
In December last year, Apple had filed a complaint against various third-party organizations that claimed that Nokia has transferred the patent too. Apple claimed that it was paying a certain amount of royalty to Nokia in turn of the various kinds of technologies being used in the products of Apple.
However, Nokia has exchanged some form of patents to the third-parties such that it could be used for the extraction of excessive royalties. As a series of events, Nokia answered back. It directly sued Apple. It said that company refused to license the technologies that are used in several products.
However, this five-month dispute between the two companies has finally ended. Under the new deal, Nokia will be offering specific network infrastructure in the form of products and services out to Apple. Apple would then resume the stocking of the digital health & wellness products of Nokia like smartwatches in the physical as well as online stores of Apple.
The in-depth details of this contract remain hidden. However, it is confirmed that Nokia will be receiving direct payment along with additional revenues in this deal. The firms said that they are on the verge of exploring future ventures in the digital health initiatives. Apple’s Chief Operating officer, Jeff Williams said in a statement that they are pleased with this reconciliation and look forward to expanding their business relationships with Nokia.
Both the companies have not elaborated details on this deal.