Ericsson and Apple have agreed to a multi-year global patent licensing agreement, bringing an end to a bitter years-long struggle. The financial details were not provided.
Their agreement puts a stop to any existing patent-related legal battles between the two corporations, which have been numerous.
Both corporations had filed litigation in a number of countries, including the United States. The Eastern District of Texas District Court, where a trial got ongoing this week in Marshall, Texas. It also deals with complaints made by the U.S. The International Trade Commission (ITC) (USITC).
According to Florian Mueller, whose Foss Patents blog tracked the fight, big patent challenges normally settle right before or between trials, but settlements during trials are not unheard of.
However, Ericsson v. Apple may be the first patent dispute to have settled during two simultaneous events, in that the trial was happening in Texas at the same time as an evidentiary hearing was underway at USITC, Mueller noted.
The settlement appears to go beyond a cross-license agreement, with the businesses pledging to expand their technological and commercial collaboration in areas such as technology, interoperability, and standards development.
“We are glad to settle the litigations with Apple with this agreement, which is of strategic importance to our 5G licensing program,” said Ericsson Chief Intellectual Property Officer Christina Petersson in a statement.
Going forward, Ericsson expects IPR licensing revenues to be impacted by a number of variables, including expired patent license agreements that must be renewed, the transition from 4G to 5G technology, potential currency changes, and the geopolitical climate.
Ericsson anticipates an IPR in the fourth quarter of 2022 IPR licensing revenues will be in the range of $534 million to $582 million.