F.P. crewOctober 13, 2022 16:46:12 IST
Having successfully sued BBK Electronics and its subsidiaries Oppo and OnePlus in Germany, Finnish technology company Nokia is now suing the Chinese smartphone maker in various markets across the world.
Back in August, Nokia managed to get a German court to ban Oppo and OnePlus in the country from selling 4G and 5G devices on the grounds that BBK Electronics and all its subsidiaries like Oppo and OnePlus They were using, infringing the intellectual property rights held by Nokia.
Finnish technology leader Nokia, one of the most prominent early mobile phone manufacturers, has a lot of patents on 5G technology in its arsenal, and this has turned out to be quite problematic for a number of Chinese smartphone manufacturers.
BBK Electronics and Nokia signed a multi-year patent deal in 2018 that expires in 2021. After the deal expired, Oppo and OnePlus were supposed to come up with their own technologies, or renew and extend the deal. However, for certain reasons, this cannot be done.
In 2021, Nokia filed a patent infringement Complaints against Oppo in multiple markets across Europe and Asia. The Mannheim District Court in Germany has ordered the two parties to reach a settlement regarding the license fee, or else it will be forced to impose a ban on sales on OPPO smartphones.
Nokia has royalty-free license agreements with Lenovo, Samsung, Xiaomi, Apple, LG, Blackberry, and more, so it’s not something smartphone manufacturers can’t work with.
One of the reasons why Oppo and OnePlus can’t reach a licensing deal could be due to the fact that both smartphone makers rely on economies of scale to operate, which means they keep a very small margin on each of the devices they sell but hope to make good money with the sheer number. of the devices they sell.
Had they gone for a licensing deal, both smartphone manufacturers would have to pay around €2.50 for each device they sell. On paper, this might not sound bad, but when you consider how thin the profit margins both Oppo and OnePlus operate in Europe, fees would have taken a chunk out of their earnings.
In July this year, the Mannheim District Court in Germany ruled in favor of Nokia and found that Oppo and OnePlus did not have valid licenses for the 5G technology they were using in their smartphones.
Nokia has already pushed Oppo and OnePlus out of the German market over patent infringement after a court ruled out two consecutive lawsuits in favor of the Finnish company.
According to a new report, Nokia is now suing Oppo in Australia for violating Nokia’s SEP (Service Enabling Platform) covering 4G and 5G technologies. The German court has stopped Oppo sales on the same grounds, so we may see the same outcome in Australia and other markets.