InterDigital Inc (IDCC)

[GrnAcrs]

UPDATE 1-Nokia may contest patent arbitration decision
Tue Jul 5, 2005 10:54 AM ET
(Adds details, background, comment.)
NEW YORK/HELSINKI, July 5 (Reuters) - Mobile phone maker Nokia (NOK1V.HE: Quote, Profile, Research) may contest an arbitration court's decision in a patent dispute with U.S. wireless technology firm InterDigital (IDCC.O: Quote, Profile, Research) , the Finnish firm said on Tuesday.

InterDigital said last week the decision by the International Court of Arbitration meant the world's biggest mobile phone maker would have to pay up to $252 million in royalty payments for technology it used during 2002-2006.

Nokia did not specify the size of royalty payments it would have to pay to InterDigital but said one of the three arbitrators had disagreed with the panel's final decision, opening the door to change the outcome.

"Nokia is pleased that all three arbitrators concluded that the royalties being sought by InterDigital were unwarranted and reduced them by more than half," the firm said in a statement.

"At the same time, Nokia must give due consideration to the issues regarding the enforceability of the decision and will consider the option of moving to vacate or modify the majority decision in this matter," it added.

InterDigital Communications Corporation, which develops wireless technology for mobile phones and networks, receives most of its revenues from royalties on patents.

It has also claimed in a related case that Samsung Electronics (005930.KS: Quote, Profile, Research) owes the firm money for its cellular technology. It said a hearing under that arbitration process would begin in October.


http://yahoo.reuters.com/financeQuoteCompanyNewsArticle.jhtml?duid=mtfh01177_2005-07-05_14-54-32_l05...