Nokia wins settlement from Apple

Nokia has settled a two-year dispute with Apple Inc., in a patent settlement that awards a one-time payment and regular royalties to Nokia.

A patent license agreement settles all outstanding litigation between Apple and Nokia.

Litigation procedures were initiated by Nokia in October 2009 claiming that Apple’s iPhone infringed on 10 of its patents.

According to the Independent Nokia claimed Apple was “trying to get a free ride on the back of Nokia’s innovation” pointing to supposed infringements, including the touch screen, caller ID and 3G technology.

Nokia will receive royalties on the millions of Apple iPhone’s sold since it was introduced in 2007. In March, Nokia said that it has 46 patents against Apple in civil lawsuits and complaints lodged with the United States International Trade Commission.

President and Chief Executive Officer of Nokia, Stephen Elop said “This settlement demonstrates Nokia’s industry-leading patent portfolio and enables us to focus on further licensing opportunities in the mobile communications market”

Analysts suggest that cutting-edge handsets such as the iPhone and the Blackberry have disrupted Nokia’s recent gains. Earlier this month, Nokia revealed sales had fallen in the second quarter, and so was forced to abandon its full-year profits. The announcement was a victory for Nokia, which in the first quarter lost out in global mobile revenue to Apple.