4 ms·

Apple agrees to pay Nokia patent licensing fees

41 points by franze 15y ago

deleted 15y ago
[deleted]
p0ppe 15y ago
According to Mikko Ervast, an analyst av Evli, the royalty could be as high as 8 euros per sold iPhone.
- Steko 15y ago
  If Apple makes $400 profit per phone that's 3% of all phone profits. I doubt it's remotely that high.
  - p0ppe 15y ago
    "Analysts said Nokia could be estimated to get between 1 and 2 percent of iPhone revenues, which are seen at around $43 billion this year according to a Reuters poll."
    - YooLi 15y ago
      Are these the same analysts that are right about everything else?
  - rsynnott 15y ago
    What makes you think Apple makes a $400 profit per device? That sounds improbably high.
    - AllenKids 15y ago
      But also not far from the truth. iPhone's gross margin is at about 60% and the average price is at $629
  - jonknee 15y ago
    Why not? They couldn't have made the phone without Nokia's IP. Seems like a pretty reasonable tax to pay. At least they're not asking for 30%...
    - deleted 15y ago
      [deleted]
mikk0j 15y ago
Finally, we have a viable business for Nokia. And NOK +2% in the OMX Helsinki at the time of writing. Any not-bad news is good news for NOK.
- nolok 15y ago
  Do you really have no idea how much money Nokia makes building phones or are you just a troll ? Apple tried to play chicken with Nokia over patent and lost, if they don't like it they shouldn't have started the feud to begin with ...
  - jsnell 15y ago
    Probably no money at all this quarter, and a loss the following one. Of course one can argue that this would not be happening if their CEO hadn't Osborne'd their whole smartphone range and mostly alienated their sales channels.
  - tzs 15y ago
    Apple had no choice over starting the feud, since nokia sued them first.
  - YooLi 15y ago
    Apple didn't try to play chicken. As was stated when this all happened back in 2009, Apple was perfectly willing to pay RAND licensing fees, but Nokia wanted fees + rights to Apple's touch patents. The settlement today only mentions fees being paid, but I'm thinking if Nokia had won patent grants too, they would be bragging about it as well.
    - vikaveri 15y ago
      I'm getting tired of hearing that same claim over and over again "Apple’s second theory of exclusionary conduct claims Nokia falsely promised to licensepatents on FRAND terms, and that Nokia then breached this commitment by asking for “excessive” royalties during negotiations (ACC [DI 21] ¶¶ 68, 91). The sole basis for this allegation is that Nokia and Apple, years after Nokia made its declarations, were unable to agreeon terms. The counterclaim contains no plausible factual allegation whatsoever that, at the time that Nokia submitted FRAND declarations, it intended not to abide by them. Nor does it plead facts demonstrating any lack of obligation to or genuine interest from Nokia in negotiating a FRAND agreement. To the contrary, Apple concedes Nokia engaged in more than a year’sworth of negotiations with Apple and made a number of offers to Apple" Starting at page 20 http://www.scribd.com/doc/28285432/Nokia-s-Motion-to-Dismiss-Apple-s-Implausible-Claims http://www.scribd.com/doc/28285432/Nokia-s-Motion-to-Dismiss... I read that as "What? We're not going to pay that much for that. Doesn't matter if anyone else does. We're Apple. Screw you guys. We're going home."

41 points by franze 15y ago

deleted 15y ago

[deleted]

p0ppe 15y ago

According to Mikko Ervast, an analyst av Evli, the royalty could be as high as 8 euros per sold iPhone.

Steko 15y ago
If Apple makes $400 profit per phone that's 3% of all phone profits. I doubt it's remotely that high.
- p0ppe 15y ago
  "Analysts said Nokia could be estimated to get between 1 and 2 percent of iPhone revenues, which are seen at around $43 billion this year according to a Reuters poll."
  - YooLi 15y ago
    Are these the same analysts that are right about everything else?
- rsynnott 15y ago
  What makes you think Apple makes a $400 profit per device? That sounds improbably high.
  - AllenKids 15y ago
    But also not far from the truth. iPhone's gross margin is at about 60% and the average price is at $629
- jonknee 15y ago
  Why not? They couldn't have made the phone without Nokia's IP. Seems like a pretty reasonable tax to pay. At least they're not asking for 30%...
  - deleted 15y ago
    [deleted]

mikk0j 15y ago

Finally, we have a viable business for Nokia. And NOK +2% in the OMX Helsinki at the time of writing. Any not-bad news is good news for NOK.

nolok 15y ago
Do you really have no idea how much money Nokia makes building phones or are you just a troll ? Apple tried to play chicken with Nokia over patent and lost, if they don't like it they shouldn't have started the feud to begin with ...
- jsnell 15y ago
  Probably no money at all this quarter, and a loss the following one. Of course one can argue that this would not be happening if their CEO hadn't Osborne'd their whole smartphone range and mostly alienated their sales channels.
- tzs 15y ago
  Apple had no choice over starting the feud, since nokia sued them first.
- YooLi 15y ago
  Apple didn't try to play chicken. As was stated when this all happened back in 2009, Apple was perfectly willing to pay RAND licensing fees, but Nokia wanted fees + rights to Apple's touch patents. The settlement today only mentions fees being paid, but I'm thinking if Nokia had won patent grants too, they would be bragging about it as well.
  - vikaveri 15y ago
    I'm getting tired of hearing that same claim over and over again "Apple’s second theory of exclusionary conduct claims Nokia falsely promised to licensepatents on FRAND terms, and that Nokia then breached this commitment by asking for “excessive” royalties during negotiations (ACC [DI 21] ¶¶ 68, 91). The sole basis for this allegation is that Nokia and Apple, years after Nokia made its declarations, were unable to agreeon terms. The counterclaim contains no plausible factual allegation whatsoever that, at the time that Nokia submitted FRAND declarations, it intended not to abide by them. Nor does it plead facts demonstrating any lack of obligation to or genuine interest from Nokia in negotiating a FRAND agreement. To the contrary, Apple concedes Nokia engaged in more than a year’sworth of negotiations with Apple and made a number of offers to Apple" Starting at page 20 http://www.scribd.com/doc/28285432/Nokia-s-Motion-to-Dismiss-Apple-s-Implausible-Claims http://www.scribd.com/doc/28285432/Nokia-s-Motion-to-Dismiss... I read that as "What? We're not going to pay that much for that. Doesn't matter if anyone else does. We're Apple. Screw you guys. We're going home."