Sweden’s Ericsson AB and Apple Inc. have agreed a 7-year cooperation deal that brings an end to outstanding patent litigations.
Ericsson, which is the world’s largest wireless equipment maker, says the two companies will cooperate in the future, including on the development of fifth generation phones, or 5G, as well as on video and wireless networks.
As part of the deal announced Monday, Apple will make an initial payment to Ericsson followed by royalties.
Though the precise amounts were not mentioned, Ericsson said it expects revenues this year of some $1.4 billion, which includes ”the positive effects” of the settlement and income from other licensees.
The agreement includes a cross license that covers patents owned by both companies, including the GSM, UMTS and LTE standards used in mobile technology.