Nokia Sues Apple in Delaware District Court for Infringement of Nokia GSM, UMTS and WLAN Patents

Thu Oct 22, 2009 10:54am EDT

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Nokia Sues Apple in Delaware District Court for Infringement of Nokia GSM,
UMTS and WLAN Patents

    ESPOO, Finland, October 22 /PRNewswire-FirstCall/ -- Nokia (NYSE: NOK)
announced that it has today filed a complaint against Apple with the Federal
District Court in Delaware, alleging that Apple's iPhone infringes Nokia
patents for GSM, UMTS and wireless LAN (WLAN) standards.
    As a leading innovator in wireless communications, Nokia has created one
of the strongest and broadest patent portfolios in the industry, investing
more than EUR 40 billion in R&D during the last two decades. Much of this
intellectual property, including the patents in suit, has been declared
essential to industry standards. Nokia has already successfully entered into
license agreements including these patents with approximately 40 companies,
including virtually all the leading mobile device vendors, allowing the
industry to benefit from Nokia's innovation.
    The ten patents in suit relate to technologies fundamental to making
devices which are compatible with one or more of the GSM, UMTS (3G WCDMA) and
wireless LAN standards. The patents cover wireless data, speech coding,
security and encryption and are infringed by all Apple iPhone models shipped
since the iPhone was introduced in 2007.
    "The basic principle in the mobile industry is that those companies who
contribute in technology development to establish standards create
intellectual property, which others then need to compensate for," said Ilkka
Rahnasto, Vice President, Legal & Intellectual Property at Nokia. "Apple is
also expected to follow this principle. By refusing to agree appropriate
terms for Nokia's intellectual property, Apple is attempting to get a free
ride on the back of Nokia's innovation."
    During the last two decades, Nokia has invested approximately EUR 40
billion in research and development and built one of the wireless industry's
strongest and broadest IPR portfolios, with over 10,000 patent families.
Nokia is a world leader in the development of GSM technologies and its
evolution to UMTS / 3G WCDMA as well as wireless LAN, which is also
demonstrated by Nokia's strong patent position in these technologies.
    About Nokia
    Nokia is a pioneer in mobile telecommunications and the world's leading
maker of mobile devices. Today, we are connecting people in new and different
ways - fusing advanced mobile technology with personalized services to enable
people to stay close to what matters to them. We also provide comprehensive
digital map information through NAVTEQ; and equipment, solutions and services
for communications networks through Nokia Siemens Networks.
    It should be noted that certain statements herein which are not
historical facts, including, without limitation, those regarding: A) the
timing of product, services and solution deliveries; B) our ability to
develop, implement and commercialize new products, services, solutions and
technologies; C) our ability to develop and grow our consumer Internet
services business; D) expectations regarding market developments and
structural changes; E) expectations regarding our mobile device volumes,
market share, prices and margins; F) expectations and targets for our results
of operations; G) the outcome of pending and threatened litigation; H)
expectations regarding the successful completion of contemplated acquisitions
on a timely basis and our ability to achieve the set targets upon the
completion of such acquisitions; and I) statements preceded by "believe,"
"expect," "anticipate," "foresee," "target," "estimate," "designed," "plans,"
"will" or similar expressions are forward-looking statements. These
statements are based on management's best assumptions and beliefs in light of
the information currently available to it. Because they involve risks and
uncertainties, actual results may differ materially from the results that we
currently expect. Factors that could cause these differences include, but are
not limited to: 1) the deteriorating global economic conditions and related
financial crisis and their impact on us, our customers and end-users of our
products, services and solutions, our suppliers and collaborative partners;
2) the development of the mobile and fixed communications industry, as well
as the growth and profitability of the new market segments that we target and
our ability to successfully develop or acquire and market products, services
and solutions in those segments; 3) the intensity of competition in the
mobile and fixed communications industry and our ability to maintain or
improve our market position or respond successfully to changes in the
competitive landscape; 4) competitiveness of our product, services and
solutions portfolio; 5) our ability to successfully manage costs; 6) exchange
rate fluctuations, including, in particular, fluctuations between the euro,
which is our reporting currency, and the US dollar, the Japanese yen, the
Chinese yuan and the UK pound sterling, as well as certain other currencies;
7) the success, financial condition and performance of our suppliers,
collaboration partners and customers; 8) our ability to source sufficient
amounts of fully functional components, sub-assemblies, software and content
without interruption and at acceptable prices; 9) the impact of changes in
technology and our ability to develop or otherwise acquire and timely and
successfully commercialize complex technologies as required by the market;
10) the occurrence of any actual or even alleged defects or other quality,
safety or security issues in our products, services and solutions; 11) the
impact of changes in government policies, trade policies, laws or regulations
or political turmoil in countries where we do business; 12) our success in
collaboration arrangements with others relating to development of
technologies or new products, services and solutions; 13) our ability to
manage efficiently our manufacturing and logistics, as well as to ensure the
quality, safety, security and timely delivery of our products, services and
solutions; 14) inventory management risks resulting from shifts in market
demand; 15) our ability to protect the complex technologies, which we or
others develop or that we license, from claims that we have infringed third
parties' intellectual property rights, as well as our unrestricted use on
commercially acceptable terms of certain technologies in our products,
services and solutions; 16) our ability to protect numerous Nokia, NAVTEQ and
Nokia Siemens Networks patented, standardized or proprietary technologies
from third-party infringement or actions to invalidate the intellectual
property rights of these technologies; 17) any disruption to information
technology systems and networks that our operations rely on; 18) developments
under large, multi-year contracts or in relation to major customers; 19) the
management of our customer financing exposure; 20) our ability to retain,
motivate, develop and recruit appropriately skilled employees; 21) whether,
as a result of investigations into alleged violations of law by some former
employees of Siemens AG ("Siemens"), government authorities or others take
further actions against Siemens and/or its employees that may involve and
affect the carrier-related assets and employees transferred by Siemens to
Nokia Siemens Networks, or there may be undetected additional violations that
may have occurred prior to the transfer, or violations that may have occurred
after the transfer, of such assets and employees that could result in
additional actions by government authorities; 22) any impairment of Nokia
Siemens Networks customer relationships resulting from the ongoing government
investigations involving the Siemens carrier-related operations transferred
to Nokia Siemens Networks; 23) unfavorable outcome of litigations; 24)
allegations of possible health risks from electromagnetic fields generated by
base stations and mobile devices and lawsuits related to them, regardless of
merit; as well as the risk factors specified on pages 11-28 of Nokia's annual
report on Form 20-F for the year ended December 31, 2008 under Item 3D. "Risk
Factors." Other unknown or unpredictable factors or underlying assumptions
subsequently proving to be incorrect could cause actual results to differ
materially from those in the forward-looking statements. Nokia does not
undertake any obligation to publicly update or revise forward-looking
statements, whether as a result of new information, future events or
otherwise, except to the extent legally required.
SOURCE  Nokia Corporation

Media Enquiries: Nokia, Communications, North America, Tel. +1-972-894-4573,
Email:; Nokia, Communications, Tel.
+358-7180-34900, Email:; Nokia, Mark Durrant,
Communications, Tel. +358-71800-8000
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