How much Apple will pay Nokia?

To the surprise of many of internet users and bystanders, the Finnish company Nokia has recently not only formally reached an agreement with Apple on the termination of all patent disputes, which stretched for nearly two years and touched on mobile technology, but also boasted that the money received from Cupertino (bullet repayment of old debts owed to current and royalties) have a positive impact on financial results for the quarter and make it break even.

At first glance, this statement will make any reasonable person to smile, but the irony and all manner of taunts in this case is misplaced, because the consequences of this settlement will cost Apple quite expensive – over a billion dollars.

According to Kai Korshelta (Kai Korschelt), member of Deutsche Bank, the Cupertino-based company will have to pay Nokia a minimum:

In their calculations, the analyst used this assumption: according to the requirements imposed lawyers Finnish mobile phone manufacturer in the lawsuit, Apple has to pay royalties of 1% of the number of sold iPhone at the moment – and it is approximately 110 – 120 000 000 mobile gadgets with an average price of $ 550 (this would be an initial payment). And if the current dynamics of sales of smartphones continues, the license fees for use of the patents at an average of 138 million dollars per quarter, or more than $ 550 million a year.

Apple announced to investors on the conclusion of a truce with Nokia on the same day, adding that he is very happy to complete a long and seemingly endless litigation. The reaction of analysts was also in favor of Apple, for example, Meynerd Hume (Maynard Um) at UBS noted that “thanks to settle the issue of technological giant managed to save money that could be spent on legal fees.”

Let Nokia and won a particular conflict, but this victory has turned out a Pyrrhic: the day before the announcement Apple has already surpassed the Finnish company by the number of smartphones sold in the world. Yes, and do not need to Cupertino so openly, “begging,” hard money looking for at least one break-even quarter.

Incoming search terms:

Related Posts

This entry was posted in News and tagged , , , , , , , , , . Bookmark the permalink .

Leave a Reply