Apple and Nokia has come into License Agreement

Nokia has come into a license agreement with Apple by signing a patent license agreement which is for the settlement of all patent litigation between the companies, including the withdrawal by Nokia and Apple of their respective complaints to the US International Trade Commission.

The financial structure of the agreement consists of a one-time payment payable by Apple and on-going royalties to be paid by Apple to Nokia for the term of the agreement. The agreement is said to have a positive financial impact on Nokia's recently revised outlook for the second quarter 2011 of around break-even non-IFRS operating margin for Devices & Services.

Stephen Elop, President and CEO of Nokia happily said, "We are very pleased to have Apple join the growing number of Nokia licensees. This settlement demonstrates Nokia's industry leading patent portfolio and enables us to focus on further licensing opportunities in the mobile communications market."

Both the companies have been under the legal-wars since the past 2 years and after numerous cases the final agreement should settle the patent and legal issues.