Nokia Corp. and Qualcomm Inc. have expanded the terms of a 1992 cross-licensing agreement for CDMA (Code Division Multiple Access) equipment and components, the companies said in a statement Tuesday.
Under the terms of the expanded agreement, Nokia will pay royalties to Qualcomm for the right to make and sell infrastructure equipment and wireless systems based on CDMA-related patents held by Qualcomm, the statement said. The licensing deal gives Qualcomm access to Nokia patents covering CDMA-related components, including multi-mode integrated circuits.
The companies did not specify the value of the agreement other than to say it was a "multimillion-dollar" deal.
Nokia will continue to pay royalties to Qualcomm for the license to build CDMA-based subscriber equipment at rates established under the original cross-licensing agreement, regardless of the CDMA standard used, the statement said. Several CDMA standards have been developed by Qualcomm, ranging from basic mobile telephony services to a more advanced 3G (third-generation) CDMA standard, which allows high-speed data access for streaming video and other applications.
The expanded cross-licensing agreement with Nokia comes on the heels of CDMA licensing deals between Qualcomm and two Chinese telecommunication equipment manufacturers, ZTE Corp. and Great Dragon Information Technology Corp.