Apple pays Nokia $2B in patent agreement

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Apple reportedly paid Nokia $2 billion following the companies' recent patent dispute, according to The Verge.

In 2016, Apple said it would no longer pay to use Nokia's patents related to smartphone technology, The New York Times reported in December. In response, Nokia filed intellectual property lawsuits in 11 countries. The dispute "underscore[d] just how much today's smartphones rely on an earlier generation of technology," according to The New York Times.

The two companies settled the legal dispute in May, signing a new patent agreement and additional business agreements, The New York Times reported in May. Under the agreement, Apple would pay Nokia royalties beginning in the second quarter of 2017. The companies did not disclose financial terms of the agreement.

Nokia's second quarter earnings results for 2017, released July 27, offered some new details. In its earnings results, the company noted, "Nokia received an up-front cash payment from Apple in the second quarter 2017, with additional revenues during the term of the agreement."

During Nokia's quarterly earnings call with investors, also July 27, the company noted "We got a substantial upfront cash payment of €1.7 billion from Apple, strengthening further our cash position," according to The Verge.

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