Faizel Patel, Radio Islam News – 22-12-2017

Nokia says it has signed a multi-year smartphone licence deal with Huawei completing a list of agreement with the world’s largest handset makers.

Nokia and Huawei did not provide financial details of the agreement on Thursday, but Nokia says it would start booking revenue, including and a one-off catch-up payment, from the fourth quarter.

Nokia has recently struck licensing deals with handset makers including Apple, Samsung Electronics LG and Xiaomi.

Mikael Rautenen an analyst from research firm Inderes says the deal is significant”

“Nokia now has agreements with all the big phonemakers…The network market will remain tough, but the growing patent revenue will compensate for it.’

Rautenen says revenue from the Huawei deal would be smaller than from Apple, which he estimated to be around $297 million annually.

“The [Huawei] ballpark [figure] could be somewhere over 100 million euros annually.”

Nokia has built up its catalog of patents in the days when the company dominated the mobile handset business. It covers technology that reduces the need for hardware components in a phone, conserves battery life and increases radio reception, among other features.

– Reuters 

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