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Samsung to pay 1.3 billion US dollars for Qualcomm patents

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  • Comments (36)

08 November, 2009

Samsung Nokia Apple Misc

While some companies make their way to the top using others' achievements, there are still ones that are willing to pay for patent licenses without mumbling too much. Like Samsung who have just signed an agreement with Qualcomm, according to which the Korean company will have to pay a fortune for some patents owned by Qualcomm.

That happens just a few weeks after we've found out that Nokia decided to sue Apple for not paying a dime for a dozen of Nokia-owned patents (including ones related to GSM, UMTS and WLAN). Word on the street is that Nokia might get up to billion and a half US dollars if Apple is proven guilty.

Samsung agreed to pay the CDMA patent holder (read: Qualcomm) nearly the same amount, namely 1.3 billion US dollars, in order to get Qualcomm's permission to use its CDMA, WCDMA and OFDMA patents.

That sounds like a fortune and it actually is: that makes approximately 80% of the 2009 net income of Qualcomm (good 1.59 billion US dollars). But as it turns out, this deal is a steal: the fees depend on company and market area, however, Samsung managed to get the lowest price.

Anyway, this is just the amount which is about to be paid in advance and there will be some additional royalties for the next 15 years, but they were not disclosed.

Source

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Reader comments

b
  • b2
  • Mkd
  • 11 Nov 2009

Actually apple is used to profit from other's hard work. For example the ssh protocol embedded in the iphones and ipod touch. it is developed by a small team of guys that work for free, in their spare time and apple never gave them any support. thank...

  • Reply
P
  • Pawel Adamowicz
  • 0xx
  • 10 Nov 2009

If they pay so much, they could buy better GPS receivers with working ephemeris. My I8000 GPS is terrible comparing to the external, small receiver from Qualcomm, that starts within 5 sec.

  • Reply
D
  • Dante
  • mI6
  • 10 Nov 2009

APPLE should learn smtng from samsung dt u should pay for a thing which nt mine not hav a free ride on others thing!!! Shame on u apple shame on u!!!!

  • Reply
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Total reader comments: 36

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