Nokia, a well-known Finnish communications and technology enterprise, has initiated legal proceedings against Amazon and HP in multiple nations, such as the United States, the United Kingdom, Germany, India, and the European Unified Patent Court. The legal measures are grounded on assertions that Amazon and HP have employed Nokia’s streaming and device innovations without proper authorization. The primary aim of these legal actions is to safeguard Nokia’s intellectual property rights and ensure compliance with established patent entitlements.
During the 1990s and early 2000s, Nokia was at the forefront of the mobile phone sector. It has since transformed into a principal supplier of 5G network infrastructure and possesses a significant collection of approximately 20,000 patents. These patents encompass fundamental technologies that have substantially contributed to the contemporary streaming industry, encompassing advancements in video compression, content delivery, and recommendation frameworks.
Arvind Patel, Nokia’s Chief Licensing Officer, emphasized the continuous efforts of the company to engage in dialogues with both Amazon and HP concerning licensing arrangements. Patel mentioned that Nokia has been in discussions with both corporations for several years, but resorting to litigation becomes necessary when entities fail to adhere to established regulations.
Nokia’s standpoint is rooted in its belief that there exists a “discrepancy” between those who drive advancements for over-the-top (OTT) services and those who reap the benefits of these progressions without adequately compensating for them. Since 2000, the corporation has dedicated over €140 billion ($148 billion) to research and development, leading to a substantial patent portfolio covering connectivity and multimedia technologies.
The lawsuits against Amazon and HP allege that both entities have declined to procure licenses for Nokia’s patented technologies and have proceeded to utilize these technologies without authorization. While Nokia anticipates a resolution through negotiations, it has taken legal action to safeguard its intellectual property rights.
Amazon has opted not to provide a comment on the ongoing legal dispute, and HP has not responded to Fortune’s request for a statement.
In recent developments, Nokia has unveiled a strategic cost-reduction initiative, which involves the downsizing of 14,000 positions, to tackle market-related challenges. The company aims to achieve cost savings of €1.2 billion ($1.3 billion) by 2026.
Despite encountering these obstacles, Nokia remains dedicated to innovation and defending its intellectual property rights. The company is hopeful that Amazon and HP will take the requisite measures to acknowledge and respect these rights and ultimately enter into a licensing agreement.
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