Apple Payment to Nokia Estimated at €500,000, €4 Per iPhone

Apple's one-time payment to Nokia is estimated at half a billion euros and its licensing fee going forward is estimated at 4 euros per iPhone, according to MKM Partners analyst Tero Kuittinen.

"I am assuming that the one-time fee is at least half a billion euros," Kuittinen said. "The licensing fee would be probably 4 euros per iPhone."

Morgan Stanley analyst Patrick Standaert says, "The patent litigation settlement with Apple gives Nokia a profit stream of ongoing royalty payments and an indirect exposure to Apple’s success. However, Nokia is a product company and we need to see success in the new smartphone strategy to become more positive in the long term. Nokia's patent win does little for the long-term picture. Nokia still has to transition to Windows Phone 7 devices and keep some market share going forward."


Nokia recently announced the agreement which will result in settlement of all patent litigation between the companies, including the withdrawal by Nokia and Apple of their respective complaints to the US International Trade Commission.

[via AllThingsD]