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Nokia could sock Apple with $1 billion in damages

By: , IntoMobile
Friday, October 23rd, 2009 at 2:26 PM

gavelNokia is suing Apple for infringing on up to 10 of Nokia’s patents with the iPhone. And, it seems Apple could get hit with as much as $1 billion in damages related to their alleged patent infringement. Sounds crazy, but it might just happen.

Piper Jaffray analyst Gene Munster estimates that Nokia will seek damages of around $200-$400 million – assessed at $6-$12 for each of the 34 million iPhones sold to date. But, that might be Apple’s best case scenario if a judge finds that Apple was in the wrong by not paying their dues to the folks in Espoo. According to Strategy Analytics analyst Neil Mawston Apple could be facing down the barrel of a lawsuit that could end up costing the iPhone maker $200 million to $1 billion in damages.

Apple is something of a newcomer to the mobile phone game. They don’t have the patent portfolio to protect them against lawsuits like this, and it’s hard to see how Apple could make a smartphone these days without treading on at least a few of Nokia’s wireless technology patents. That leaves Apple open to getting legally violated by the mighty Finns.

Some say Nokia’s lawsuit is more a ploy to try and slowdown the runaway success of the iPhone. Others think Nokia just wants to get in on Apple’s cash cow. In any case, Nokia says they approached Apple with several offers before filing suit, so it’s Apple’s bad for not wanting to settle this out of court. It should be interesting to see where this goes…

[Via: Reuters]

About The Author

Will Park

Will hails from The City of Angels - Los Angeles, California. He spends his time playing with his numerous gadgets and looking forward to seeing what future holds for mobile technology. An avid promoter of a fully "digital" life, he promotes the widespread adoption of truly mobile, paper-less living. He dreams of the day when he can go completely digital. No more snail mail, paper receipts, bound books, notepads/spiral notebooks, credit cards, hard currency. He's a digital warrior - fighting for the converged life. He is an idealist and a realist - he has a perfect view of what the world should be but knows that the world is not perfect. Can we ever hope to see Will's dream become reality? We'll see...

  • George

    So Nokia didn’t know this right after the iPhone came out? They decided to wait and see if the iPhone became popular and then they could hit Apple for a whole lot more money? Come on, who is the big fraud here!

  • prashant

    yea of course they come up with right after apple’s record earnings. Case of jealous people just trying to get a piece of the pie.

  • prashant

    with the lawsuit**

  • Monarky

    Jealous? ….Don't Know? You idiot's clear the wax and read a little truthful news. Get the facts.
    #1 – Nokia happens to have over 11,000 patents…… over 20 years and a billion or so dollars of R&D costs. You think it's all right for Apple to come in steal 3G and antenna technologies on just 20 of the patents Nokia is suing for?
    #2 – If you could read, maybe you'd know that Nokia gave notice when the phone was announced in January of 2007. Apple did respond. So Nokia Sued them, that's what happens when you don't pay people for their ideas and R&D costs to make your product even possible.
    #3 – At least Nokia didn't sue them into the ground, even though they most likely could with the largest number of patents any company in the cell phone industry that was started in Europe!
    # 4 – The big problem for Apple is that Nokia's patents all have been proved in court or by the fact other phone makers pay those same license fees because rather than ignore the notice of patents given, others just paid them!

    in life you pay before you're asked, as you walk out the door with someone else's property, or you can wait till they ask you (Nokia asked before product went on sale, or you can pay after they take it to court. Apple decided to stretch their luck and will deserve to lose Billions of Dollars and they'll lose it first even in the counter-suit. That will come with a BAN by the ITC. Then you won't be able to buy any Apple iPlatform products and it'll all be because of Apple's arrogant snobbery and greed!!!