InterDigital Inc (IDCC)

[nieves]

InterDigital In Settlement Talks With Nokia >IDCC

Mar 24, 2008

DOW JONES NEWSWIRES

InterDigital Inc. (IDCC) on Monday said it is in settlement talks with Finland-based mobile phone maker Nokia Corp. (NOK)and has made "substantial" progress towards resolution of all patent disputes between the companies.

InterDigital, of King of Prussia, Pa., said a federal court in New York decided last Thursday that Nokia is likely to prevail on the issue of whether its alleged entitlement to a license is arbitrable, according to a Securities and Exchange Commission filing. But the court didn't consider or rule whether Nokia is entitled to the license.

InterDigital provides wireless technologies and products for voice and data communications.

Nokia filed a lawsuit against InterDigital in February to stop the company from proceeding against Nokia in the investigation by the U.S. International Trade Commission, or ITC, over a complaint related to certain third-generation mobile handsets and components filed by InterDigital last August.

Nokia alleges that it has a license to the patents as a result of a TDD development project between Nokia and InterDigital completed in 2003.

According to Monday's SEC filing, the federal court has ordered InterDigital to cease participation in the ITC investigation by April 11, but only with respect to Nokia. The court also ordered Nokia to post a $500,000 bond by Friday, the SEC filing said

InterDigital said it disagrees with the court's decision and has filed a notice of appeal and plans to request an expedited resolution of the appeal.

The company said it expects to continue to participate in the ITC inquiry against Nokia to the extent allowed by the court's order or any change in that order that might occur as a result of InterDigital's appeal.

InterDigital said the court's order has no effect on the ITC probe relating to Samsung Electronics Co. Ltd (005930.SE) and certain of its affiliates, for which the evidentiary hearing continues to be scheduled to start April 21.

The company said the patents asserted against Nokia in the ITC inquiry are also being asserted against Samsung and will continue to be part of the evidentiary hearing in the ITC investigation regarding Samsung.

-Gee L. Lee, Dow Jones Newswires; 202-862-1346

(END) Dow Jones Newswires