TORONTO – Nortel Networks has completed the biggest sale of technology patents in history after selling off approximately 6,000 patents to a consortium of six companies for US$4.5 billion.
The consortium, made up of Apple, EMC, Ericsson, Microsoft, Research In Motion and Sony, now owns patents and patent applications spanning wireless, wireless 4G, data networking, optical, voice, Internet, service provider, and semiconductors. The extensive patent portfolio touches nearly every aspect of telecommunications plus additional markets such as Internet search and social networking.
"Following a very robust auction, we are pleased at the outcome of the auction of this extensive patent portfolio", said George Riedel, Nortel’s chief strategy officer and president of business units, in a statement. "The size and dollar value for this transaction is unprecedented, as was the significant interest in the portfolio among major companies around the world."
The sale is subject to applicable Canadian and U.S. Court approvals which will be sought at a joint hearing expected to be held on July 11, 2011. Nortel said that it hopes to close the sale in the third quarter of 2011.
