Nokia Armageddon Approaching?
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By InCards
April 10, 2007

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So far today all's quiet on both the western and eastern fronts even though the QUALCOMM and Nokia cross-licensing patent agreement entered into in July 2001 as an extension of their original 1992 CDMA licensing agreement expired at midnight just past.

Armageddon (n.)

1. Bible. The scene of a final battle between the forces of good and evil, prophesied to occur at the end of the world.

2. A decisive or catastrophic conflict.

In a recent interview with London's Financial Times that appeared in their Sunday April 1 edition, QUALCOMM CEO Paul Jacobs conjured up the ultimate battle between QUALCOMM and the worlds largest and most profitable communications equipment manufacturer ...

"The two teams are pretty polarized. I'm hopeful that we can avoid Armageddon and a massive escalation but it's hard to know."

One week later the San Diego Union-Tribune quoted Nokia CFO, Rick Simonson, on Paul Jacobs' Armageddon subject ...

"You don't hear me or others here using terms like 'Armageddon. We're somewhat boring when it comes to the press. We are not prone to hyperbole. We try to stick with the facts. We are the leader in the industry, and one that has done more than anybody to foster the innovation and growth that has happened in the mobile industry. That's why this is a little bit more of a story of not Qualcomm vs. Nokia, but more like Qualcomm vs. the whole industry."

Prelude to A-Day

� October 27: 2005: Broadcom, Ericsson, Matsushita, NEC, Nokia ant TI file a complaint with the EC DG-Comp in Brussels asking them to investigate what they claim to be anti-competitive behavior by QUALCOMM.

QUALCOMM v. Nokia (active GSM/EDGE alleged infringement litigation)

1. Federal District Court for the Southern District of California, USA [November 2005]
2. The Patents Court of the High Court of England and Wales, UK [May 2006]
3. International Trade Commission (ITC), USA [June 2006]
4. Germany [August 2006]
5. France [October 2006]
6. Italy [October 2006]
7. China [Q1 2007]]
8. Federal District Court for the Eastern District of Texas, Marshall Division [April 2007]
9. Federal District Court for the Western District of Wisconsin [April 2007]

� August 9, 2006: Nokia files a complaint against Qualcomm with the Delaware Court of Chancery, asking the Court to order Qualcomm to license its IP for GSM technology standards on "fair, reasonable, and non-discriminatory (FRAND) terms.:

� March 19, 2007: Nokia files a complaint against Qualcomm in Germany (Regional Court of Mannheim) and the Netherlands (Hague District Court) and asks the courts to declare "Qualcomm's European patents to be exhausted in respect of products placed on the European Union (EU) market with a Qualcomm license, in this instance chipsets supplied by Texas Instruments.

� April 05, 2007: QUALCOMM Files Arbitration Demand Against Nokia to Resolve Dispute Over License Agreement with the American Arbitration Association. requests a ruling that Nokia's continued use of QUALCOMM's patents in Nokia's CDMA cellular handsets (including WCDMA ) after April 9, 2007 constitutes an election by Nokia to extend its license under the parties' existing agreement. Such an extension would obligate Nokia to pay QUALCOMM the same royalty specified in the current agreement and prohibit Nokia from asserting patent claims against QUALCOMM's CDMA products. QUALCOMM also seeks a ruling that it is entitled to terminate all of Nokia's rights and licenses under the agreement if Nokia sues QUALCOMM for patent infringement after April 9, 2007.


- Eric -

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