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Nokia Announces 5G Smartphone Patent Licensing Rate: 3 Euros Per Cell Phone
- Aug 23, 2018 -

Beijing time on August 23 morning news, Nokia and other companies are taking measures to avoid future licensing related patent wars, the specific practice is to publicly disclose the patent royalties of its 5G technology.

Nokia's 5G technology patent royalties are flat rates of 3 euros ($3.48) per device. Ericsson uses a floating rate of $2.5 to $5 per device, depending on the price of the device. At the same time, Qualcomm plans to use two rate mechanisms: 2.275% of the wholesale price of single-mode 5G mobile phones, or 3.25% of the price of multi-mode 5G mobile phones. Qualcomm's rate is higher than other companies, but the company lowered its ceiling phone price from $500 to $400 and lowered the maximum rate for each phone from $16.25 to $13.

The combined 5G royalty for Nokia, Ericsson and Qualcomm means that the licensing rate for each device will be more than $21, but this has not taken into account other companies that are involved in the 5G standard. For example, Huawei has not announced its patent royalties.

For this market, transparency is of course very important. For Nokia, keeping the patent licensing rate low will not only help the company make a large sum of money from a new wave of 5G products, but also preemptively avoid future patent wars.

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