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Updated: Nokia says it is owed up to $3.50 for every 5G smartphone

Aug 21, 2018 1:09pm

Nokia announced its patent-licensing rate for 5G smartphones, pegging the value of its 5G patents at up to $3.50 per smartphone. That is noteworthy considering that rate appears to be less than what Qualcomm and Ericsson are charging for their own 5G patents.

"Nokia innovation combined with our commitment to open standardization has helped build the networks of today and lay the foundations for 5G/NR," said Ilkka Rahnasto, head of patent business at Nokia, in a statement. The company noted that the figure is a cap and not necessarily the amount that every licensee would pay. "This announcement is an important step in helping companies plan for the introduction of 5G/NR capable mobile phones, with the first commercial launches expected in 2019."

Interestingly, for other categories of devices, Nokia said it will determine its licensing rates separately “and seeks to engage in constructive dialogue with relevant industry participants to define the licensing models best suited for those industries.”

Nokia’s announcement underscores what will be a major element in the growth of the 5G industry. As the 3GPP and other standards organizations finalize the patents involved in the final 5G standard, the companies that have contributed this technology are all likely looking to cash in on patent-licensing agreements. The same scenario played out in 3G and in 4G—indeed, some players argued that the patent-licensing situation for 4G was so onerous that it did not support the entry of new players into the market..etc…

https://www.fiercewireless.com/5g/nokia-says-it-owed-3-for-every-5g-smartphone