Ericsson gets huge boost to patent income after settlement with Apple
Apple and Swedish telecom Ericsson have ended a year-long patent dispute that spanned US federal courts, the International Trade Commission, and included lawsuits in the United Kingdom, Germany, and the Netherlands.
Exact financial terms weren't disclosed, but Apple will both make a one-time payment to Ericsson and pay ongoing patent royalties. Ericsson said in a press release that its patent-related income will rise between 4 and 5 billion Swedish krona this year, which equates to $470 to $590 million. The Swedish company's stock is up about 4 percent on the news.
"We are pleased with this new agreement with Apple, which clears the way for both companies to continue to focus on bringing new technology to the global market, and opens up for more joint business opportunities in the future," said Kasim Alfalahi, Ericsson's chief IP officer.