RIM ordered to pay Nokia royalties over mobile phone patent

Research in Motion (RIM), the BlackBerry manufacturer, has been ordered by a Swedish arbitrator to pay Nokia royalties for use of patented technologies.

The patent dispute fell in the Finnish company's favour after it was determined that RIM had used protected wireless local access network (WLAN) systems in its mobile phones.

The firm is likely to be hit hard by the decision, since it has been ordered to pay royalties on all previous and future handset sales as well as damages.

RIM is struggling to survive amid fierce competition from dominating industry leaders Apple and Samsung.

Dramatic losses of US$235 million (AU$225 million) were posted in the second quarter, and its software has just 0.5 per cent market share in Australia, according to the latest Kantar Worldpanel data.

Company executives and shareholders will be hoping that the release of new operating system BlackBerry 10 (BB10) early next year will help to boost the flagging customer base.

Posted by Simon Thomas

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