Nokia's core innovations in cellular technologies are covered by the license.

Vivo will pay Nokia for a number of years, plus catch-up payments to cover the dispute period.

In the last thirteen months, Nokia has now finalized patent license agreements with six significant smartphone suppliers.

Nokia and Vivo strike a cross-licensing agreement for 5G patents.

Espoo, Finland, February 5, 2024 Nokia and Vivo have inked a multi-12 months patent cross-license deal, the business enterprise stated today. Vivo can pay Nokia royalties and capture-up payments to cover the length of the dispute, as according to the terms of the settlement. All top notch patent disputes between the parties are settled by way of the settlement, worldwide. As decided upon by means of the parties, the contents of the settlement are kept private.

"We have now almost completed our smartphone license renewal cycle," stated Jenni Lukander, President of Nokia Technologies, "and this is the sixth major smartphone patent license agreement we have signed in the past thirteen months." 

All of these license agreements show how Nokia made a substantial contribution to the development of essential technology used by the smartphone industry as a whole, and they will give our licensing business long-term stability for years to come.  

"We're happy to have reached a mutually respectful agreement with Vivo that upholds each other's intellectual property rights," Lukander continued. One of the major companies in the global smartphone market is vivo. Through our partnership, we hope to provide their users worldwide with even more innovation.

Vivo Mobile Communication Co., Ltd.'s General Manager of Legal Affairs Department, Xianwen Xu, said, "We are happy to have reached a global cross-license agreement with Nokia." Signing the agreement contributes significantly to the industry's healthy development environment and demonstrates mutual respect and acknowledgement of each other's cellular technology patent value. In order to provide consumers all over the world with exceptional high-tech goods and services, we are committed to investing in the R&D of smart gadgets and intelligent services.

The agreement is in line with the presumptions Nokia revealed for Nokia Technologies in its 25 January 2024 Financial Report for the Fourth Quarter. In Q1 2024, Nokia will start recording net sales from this agreement, including catch-up payments for the non-payment periods. Nokia Technologies is making significant progress in its development areas of automotive, consumer electronics, IoT, and multimedia as it nears the end of the smartphone licensing renewal cycle. It is still optimistic that in the middle of the year, its yearly net sales run-rate would reach EUR 1.4 to 1.5 billion.

Nokia has an industry-leading patent portfolio with almost 20,000 families, many of which are deemed critical to 5G. This portfolio is based on approximately €150 billion spent in research and development since 2000. Nokia grants the right to license its innovations on fair, reasonable, and non-discriminatory (FRAND) terms in exchange for contributing its discoveries to open standards. Without having to invest heavily in the standards themselves, businesses can license and use these technologies, which encourages innovation and the creation of new goods and services for customers.