Asia Express - Mobile Communications
Samsung, LG Separately Sign Cross-Licensing Deals with Qualcomm
November 13, 2009
Following the tie-up between Nokia and Qualcomm, Korean Samsung and LG recently separately entered into cross-licensing agreements with Qualcomm, Reuters reported on November 12. Pursuant to the agreement signed between Samsung and Qualcomm, they will exchange rights to access each other's proprietary technologies. Samsung will pay Qualcomm US$1.3 billion in advance for the right to use the latter's licenses in wireless technologies including CDMA (Code Division Multiple Access) over the next 15 years. In return, Qualcomm will be given the right to use Samsung's 57 patent licenses in 3G and 4G mobile technology. Samsung, however, declined to reveal further information regarding the number of licenses being transferred from Qualcomm to Samsung. Due to higher value of its patent licenses, Qualcomm will not need to pay to use Samsung's technology.

Aside from Nokia and Samsung, LG also signed a similar agreement with Qualcomm, whereby LG will grant Qualcomm the right to use its 4G technology, while renewing Qualcomm's access to its 3G technology, according again to Reuters. Financial details of the LG-Qualcomm deal, however, were not yet disclosed.