Daimler production in jeopardy due to Nokia patent infringement

April 06, 2020 //By Christoph Hammerschmidt
Daimler production in jeopardy due to Nokia patent infringement
A patent infringement dispute between car manufacturer Daimler and mobile phone specialist Nokia, that has been pending for some time, appears to be coming to a head. According to media reports, Daimler could be threatened with a sales and production ban for certain car models.

Nokia has sued Daimler in several cases for patent infringement for certain components of its telematics control units (TCUs). In one of these cases a decision is expected this week. Nokia is seeking an injunction that would prohibit Daimler from continuing to produce and sell the vehicles with the disputed components. This could result in damages of €4.5 billion for Daimler, writes the business magazine Wirtschaftswoche.

According to Nokia, Daimler is violating patent EP1671505, which describes data transmission methods. According to Nokia, this patent is of central importance for the production of 3G mobile phone uplinks using the UMTS (Universal Mobile Telecommunications System) standard; Daimler should have licensed the corresponding technology. Apparently, the mobile phone generations 4G and 5G are also affected.

Daimler uses such TCUs from several suppliers. In this context, the technology suppliers Continental, Valeo, Gemalto and Bury had declared some time ago that they had applied to Nokia for corresponding licenses but had not received any. For this reason, they submitted antitrust complaints to the EU Commission's Directorate General for Competition more than a year ago, according to media reports. 


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