Swedish telecom company Ericsson and South Korean giant Samsung have ended their legal disputes over patents, signing an agreement to cover all cellular technologies.
The agreement covers network infrastructure and handset sales from the start of 2021, but other financial details were not disclosed, reports ZDNet.
“We are delighted to sign a mutually beneficial agreement with Samsung. This important deal confirms the value of our patent portfolio and further illustrates Ericsson’s commitment to FRAND (fair, reasonable, and non-discriminatory) principles,” Ericsson’s chief intellectual property officer Christina Petersson was quoted as saying in the report on Sunday.
Samsung’s FRAND commitment is a contract between Samsung and European Telecommunications Standards Institute.
The FRAND commitment applies to various global cross-licenses that cover both parties’ patents for 2G, 3G, 4G, and 5G cellular standards.
Ericsson had accused Samsung of not adhering to its contractual commitments for various licensing patent agreements.
In a suit filed at District Court in the US last year, Ericsson had claimed that Samsung violated contractual commitments by failing to adhere to FRAND terms and conditions.
Both the companies have now pulled their complaints filed with the US International Trade Commission, according to the report.
In its second quarter, Ericsson expected its licensing revenue to be approximately $240 million to $300 million.