Nokia and Apple reach agreement

Apple's recently launched iPad2

Handset manufacturer Nokia has concluded a patent license agreement with Apple, which requires that both parties withdraw their complaints lodged with the US International Trade Commission.

“We are very pleased to have Apple join the growing number of Nokia licensees. This settlement demonstrates Nokia’s industry leading patent portfolio and enables us to focus on further licensing opportunities in the mobile communications market,” said Stephen Elop, president and chief executive officer of Nokia.

In terms of finances, the settlement includes of a once-off payment by Apple to Nokia, but the specific terms of the contract have been kept confidential.

According to a Nokia press release, “this agreement is expected to have a positive financial impact on Nokia’s recently revised outlook for the second quarter 2011 of around break-even non-IFRS operating margin for Devices & Services.”