Apple reportedly paid LG for a long-term patent licensing agreement

In April, LG said it had received a one-time payment for patent licenses, but did not disclose who its customers were. In a report from TheElec we learn that LG Electronics received 890 billion KRW ($662.4 million) from the two companies, of which 800 billion KRW ($595.4 million) was paid by Apple, according to industry sources. An unknown company paid the difference.

LG Electronics and Apple reportedly entered into a long-term patent licensing agreement for more than a decade, a common practice for multinational conglomerates. The patents probably included “many standard basic patents”.

As LG exited the smartphone business, its obligations to pay Apple for the cross-licensing agreement changed, and thus the payment from Apple as compensation for the remainder of the previously agreed cross-licensing patent agreement.

“LG holds several standard essential patents and is likely to pursue a deal with Samsung as well,” he writes The Elec. “While LG may have exited the smartphone business, its other affiliates such as LG Innotek and LG Display will continue to supply camera modules and displays to the iPhone maker.


Source link

Leave a Reply

Your email address will not be published.