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Nokia sues Apple

GodlessAstronomer

GodlessAstronomer

Lifer
http://money.cnn.com/2009/10/2...postversion=2009102211

NEW YORK (CNNMoney.com) -- Cell phone giant Nokia Corp. filed a lawsuit against Apple Inc. on Thursday, alleging that its iPhone infringes on its patents.

Specifically, the Finland-based company said Apple (AAPL, Fortune 500)'s iPhone violates 10 patents covering wireless data, speech coding, security and encryption.

Nokia, which filed the suit in the Federal District Court of Delaware, attests that the technologies have been used in every iPhone model shipped since the smartphone was introduced in 2007.

Nokia (NOK) said it has invested more than ?40 billion -- about $60 billion -- in research and development during the past two decades and has created "one of the strongest and broadest" patent portfolios in the industry.

"The basic principle in the mobile industry is that those companies who contribute technology development to establish standards create intellectual property, which others then need to compensate for," said Ikka Rahnasto, vice president of legal and intellectual property at Nokia, in a prepared statement.

Nokia, which is the world's largest handset manufacturer, said it has signed licensing agreements with 40 other companies, allowing them use of the technologies that are cited in its lawsuit against Apple.

"Apple is also expected to follow this principle. By refusing to agree to appropriate terms for Nokia's intellectual property, Apple is attempting to get a free ride on the back of Nokia's innovation," Rahnasto said.

Apple spokeswoman Susan Lundgren declined to comment, saying, "Apple doesn't comment on pending litigation."

In its third-quarter earnings reports, Nokia said its smartphones market share fell to 35% from 41% in the previous quarter. Meanwhile, Apple reported its most profitable quarter ever, boosted by 7.4 million iPhone sales, up 41% from last year.

Shares of Apple were down less than 1% on the news, while Nokia's were up 1.46% in midday trading.
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Sounds like sour grapes to me. Interesting how they bring this lawsuit right after they showed horrible drops in smartphone penetration and sales. Gotta keep the shareholders happy!

My guess is they wont get a dime for at least half of these 'violations'
 
This will take quite some time to resolve but if Apple did violate the patents this will be a massive blow to them. The very best they can hope for is to have to pay past licensing fees and those will be large. At worst they could get slammed with massive fees for patent violation, or even be prevented from continuing production of the i-phone.
 
For intellectual property you have to have to prove diligence in protecting your patents. IE you are a patent holder. Infringer violates your patent. You are aware of this and wait till they get really big (5 years) and then smack them with a whole lot of licensing fees.

It would be hard for them to argue they weren't aware of the iphone or that they didn't know it infringed till now.
 
Originally posted by: cheezy321
Sounds like sour grapes to me. Interesting how they bring this lawsuit right after they showed horrible drops in smartphone penetration and sales. Gotta keep the shareholders happy!

My guess is they wont get a dime for at least half of these 'violations'
Click to expand...
Why wouldn't they get any money?
You think that Nokia doesn't have these patents? You think they don't already have licensing agreements with other people who also own patents?
It would be like saying that Intel or AMD can't sue someone trying to make an x86 CPU that supports all the latest technologies and hope to win.
 
Originally posted by: mchammer187
For intellectual property you have to have to prove diligence in protecting your patents. IE you are a patent holder. Infringer violates your patent. You are aware of this and wait till they get really big (5 years) and then smack them with a whole lot of licensing fees.

It would be hard for them to argue they weren't aware of the iphone or that they didn't know it infringed till now.
Click to expand...

Usually you start off trying to negotiate, which reports say Nokia have been, and then if negotiations fail (and a 2 or so year period seems viable for negotiations to have failed during) you put together a case and go to court.

You would rather Nokia had gone to court right when the iPhone had been released, without first trying to negotiate?
The word is that Nokia want more than Apple are willing to pay, hence the failure of negotiations (and negotiations indicate due diligence) and court is the route Nokia are taking to try and get the money they want since Apple won't play ball through negotiation.
 
I hope they go after Apple with all the money they got. Apple uses these broad retarded patents and sues people over them.
 
Originally posted by: Lonyo
Originally posted by: mchammer187
For intellectual property you have to have to prove diligence in protecting your patents. IE you are a patent holder. Infringer violates your patent. You are aware of this and wait till they get really big (5 years) and then smack them with a whole lot of licensing fees.

It would be hard for them to argue they weren't aware of the iphone or that they didn't know it infringed till now.
Click to expand...

Usually you start off trying to negotiate, which reports say Nokia have been, and then if negotiations fail (and a 2 or so year period seems viable for negotiations to have failed during) you put together a case and go to court.

You would rather Nokia had gone to court right when the iPhone had been released, without first trying to negotiate?
The word is that Nokia want more than Apple are willing to pay, hence the failure of negotiations (and negotiations indicate due diligence) and court is the route Nokia are taking to try and get the money they want since Apple won't play ball through negotiation.
Click to expand...

No if they were trying to negotiate from the getgo (2007) they would have proved due diligence. I wasn't aware of the specific circumstances of this case and the article did not elaborate whether Nokia sought negotiations with Apple prior to following suit or not.
 
Originally posted by: zerocool84
I hope they go after Apple with all the money they got. Apple uses these broad retarded patents and sues people over them.
Click to expand...

Broad retarded patents? Wanna elaborate on that?
 
Heh, wouldn't it be funny if Apple was hit with a massive fine and prohibited to make any more iphones? I know a couple appletards and I'd love to see their expression if that happened.
 
Originally posted by: James Bond
Originally posted by: zerocool84
I hope they go after Apple with all the money they got. Apple uses these broad retarded patents and sues people over them.
Click to expand...

Broad retarded patents? Wanna elaborate on that?
Click to expand...

Umm finger-gestures ring a bell?
 
Originally posted by: James Bond
Originally posted by: zerocool84
I hope they go after Apple with all the money they got. Apple uses these broad retarded patents and sues people over them.
Click to expand...

Broad retarded patents? Wanna elaborate on that?
Click to expand...

Same thing every other tech company does...

Patent '007: Method to provide bodily sustenance via ingestion of edible entities. (Eating)

Or my personal favorite:

Patent '001: Creating warmth of various temperature via combustible apparatus. (Fire)

 
Originally posted by: Lonyo
Originally posted by: cheezy321
Sounds like sour grapes to me. Interesting how they bring this lawsuit right after they showed horrible drops in smartphone penetration and sales. Gotta keep the shareholders happy!

My guess is they wont get a dime for at least half of these 'violations'
Click to expand...
Why wouldn't they get any money?
You think that Nokia doesn't have these patents? You think they don't already have licensing agreements with other people who also own patents?
It would be like saying that Intel or AMD can't sue someone trying to make an x86 CPU that supports all the latest technologies and hope to win.
Click to expand...

If they have been talking with apple over this patent infringement since the inception of the iPhone then Apple knows exactly what its doing.

If Apple felt it would be beneficial to them to settle in the beginning, they would have done it. If they felt that Nokias patent infringement claims were questionable at best, then they would do what they are doing now. They have a team of lawyers that works directly on issues like this.
 
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