Apple recently closed its Twitter analytics service Topsy. (Photo : Reuters)
The settlement of Apple and Samsung's patent lawsuits may have been stymied by the decision of the South Korean-tech giant to elevate the case rather than pay a fine, but another legal problem was removed from the Cupertino-based tech firm.
That's because Apple and Ericsson agreed to settle out of court patent lawsuits between the two tech giants, reports Computerworld. Apple would pay Ericsson an undisclosed amount over patents vital to implement several mobile communications standards.
It includes GSM, 3G standard UMTS and LTE that are used in 4G networks. Because the licensing agreement between Ericsson and Apple that run on those networks expired at the start of 2015, a breakdown in negotiations for the renewal of the agreement, the two tech companies filed lawsuits against each other in the U.S. District Court for the Eastern District of Texas.
Apple insists there was no breach of one important patent, but Ericsson claims Apple owes it for licenses covering all its standards-essential patent portfolio. After six week, Ericsson filed seven new cases against Apple plus two more lawsuit with the U.S. International Trade Commission. The lawsuits accuse Apple of breaching its patents on 2G, 3G and 4G network technologies and asked the courts to prevent Apple from selling more iPads and iPhones until the company headed by Tim Cook pay.
On Monday, Ericsson and Apple inked a global cross-license agreement for patented standards-essential technologies. The confidential deal, which covers all lawsuits in Texas, California, Britain, Germany and The Netherlands, stipulates payment by Apple of an initial lump sum and royalties for seven years.
Ericsson estimates it would receive around $1.64 billion from Apple in 2015.
"We are pleased with this new agreement with Apple, which clears the way for both companies to continue to focus on bringing new technology to the global markets, and opens up for more joint business opportunities in the future," Business Finance News quotes Kasim Alfalahi, chief intellectual property officer at Ericsson.
