Nokia signs potentially lucrative patent licensing deal with Xiaomi to develop future products.
Nokia has signed a major contract deal with global smartphone manufacturer Xiaomi.
The contract involves both corporations signing patent agreements that will allow Nokia to provide Xiaomi with equipment to provide network infrastructure for transport solutions to better process information across data centre networks.
Xiaomi also aim to provide IP routing based on Nokia’s new FP4 network processor, and a means to deliver resources to support data management on data fabric solution platforms.
The companies have also signed cross licenses which will allow them to access to one another’s cellular standard patents.This will provide more opportunities to develop new products.
The deal is essential to both firms as they aim to work together to provide new innovative technology solutions, which requires licensing to comply with industry standards.
“Xiaomi is one of the world’s leading smartphone manufacturers and we are delighted to have reached an agreement with them,” said Rajeev Suri, President & CEO of Nokia.
“In addition to welcoming such a prominent global technology company to our family of patent licensees, we look forward to working together on a wide range of strategic projects.”
As part of the agreement Nokia will work with Xiaomi to expand IoT services, with the companies also agreeing to explore developing areas of artificial technology and virtual reality for future products.
Xiaomi provides smartphones devices and new technology using its Mi IoT ecosystem, which has connected up to 60 million devices.
Lei Jun, chairman and CEO of Xiaomi said:”As a company seeking to deliver more exciting technological innovations to the world, we are excited at the opportunity to work more closely with Nokia in future,
“Xiaomi is committed to building sustainable, long-term partnerships with global technology leaders. Our collaboration with Nokia will enable us to tap on its leadership in building large, high performance networks and formidable strength in software and services, as we seek to create even more remarkable products and services that deliver the best user experience to our Mi fans worldwide.”