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Nokia cries discrimination over patents

Nokia cries discrimination over patents

The GSM patents held by IPCom - originally developed by Bosch - are being offered under unfair terms, claims Nokia.

Nokia is feeling cheated after learning that a patent it is forced to license has been offered to competitors under better terms – and is going all the way to the European Commission to air its grievances.

According to an article over on The Register, the Finnish mobile 'phone giant has lodged a complaint that claiming that German IPCom – current owners of a handful of patents regarding certain aspects of the GSM (Global System for Mobile communication – originally called Groupe Spécial Mobile) system originally developed by Bosch – is refusing to license the technologies under the required Fair, Reasonable and Non-Discriminatory terms – terms it did offer to Nokia's competitor, Samsung.

IPCom, partly owned by asset management group Fortress Investment Group, is seeking €12 billion from Nokia in order to license the patents, without which the company is unable to legally make or sell mobile 'phone equipment in Europe. Claiming discrimination, Nokia has asked the European Commission's Director General for Competition for a ruling – and it's not expected to go IPCom's way.

If the court's decision in February sides with Nokia, it could spell the death blow for IPCom and Fortress Investment Group – with the asset management firm's shares currently trading below a dollar after hitting $31 two years ago, such a ruling would likely result in a de-listing, with IPCom following suit.

Do you believe that Nokia should just stump up the readies if it wants to use IPCom's patents, or is IPCom being greedy and trying to get more money out of what it perceives as a target with deeper pockets than Samsung? Share your thoughts over in [url=http://forums.bit-tech.net/showthread.php?t=162639the forums[/url].

5 Comments

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Blademrk 8th January 2009, 10:13 Quote
Quote:
Share your thoughts over in [url=http://forums.bit-tech.net/showthread.php?t=162639the forums[/url].

] missing.

Can't say I've been overkeen on Nokia's phones for a while.
The license to use the patent should cost the same.
Bauul 8th January 2009, 10:32 Quote
Doesn't surprise me Nokia are pushing this, they've been really struggling especially against Samsung recently.
Darkedge 8th January 2009, 12:30 Quote
should cost the same (per unit really). A flat fee to any user is unrealistic.
genesisofthesith 8th January 2009, 12:40 Quote
About the last line - Surely Samsung has considerably deeper pockets than Nokia.
Gareth Halfacree 8th January 2009, 13:00 Quote
Quote:
Originally Posted by genesisofthesith
About the last line - Surely Samsung has considerably deeper pockets than Nokia.
But only Samsung's mobile division needs to license the patents - wheras 99% of what Nokia does is mobile 'phones. Without the patents, Samsung could easily continue to trade other products - Nokia would be sunk.
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