Recently, some media reported an interesting piece of news - the State Administration for Market Regulation is currently investigating antitrust issues in licensing fees from 5G patent holders such as Nokia. After hearing this news, many people's reaction was, was it wrong? Wasn'

2024/05/0406:37:33 technology 1892

A few days ago, some media reported an interesting news - the State Administration for Market Regulation is currently investigating antitrust issues in licensing fees from 5G patent holders such as , Nokia and .

Recently, some media reported an interesting piece of news - the State Administration for Market Regulation is currently investigating antitrust issues in licensing fees from 5G patent holders such as Nokia. After hearing this news, many people's reaction was, was it wrong? Wasn' - DayDayNews

After hearing this news, many people’s reaction was, is it a mistake? Wasn't Nokia already acquired by and Microsoft ? Why does it have a monopoly again?

At that time, Nokia failed to catch the Android express due to a wrong choice, and had to sell most of its mobile phone business and some patented technologies to Microsoft. Many people believe that Nokia's complete bankruptcy is only a matter of time.

However, ten years later, Nokia not only did not "die", but its life became more and more prosperous.

According to Nokia’s 2021 financial report, Nokia’s net sales were 22.202 billion euros (156.524 billion yuan). A year-on-year increase of 2%, net profit was 1.623 billion euros. In the first quarter of this year, Nokia's net sales were 5.3 billion euros, or 37.3 billion yuan, and its operating profit margin was as high as 10.9%.

The question is, how does Nokia make money?

Telecommunications and patents reborn Nokia

With a simple search on the Internet, it is not difficult to find out where Nokia's income comes from.

Taking the first quarter of 2022 as an example, Nokia's main business has three main businesses: telecommunications equipment supply accounting for 81.77%, enterprise operations accounting for 6.41%, and patent licensing accounting for 5.72%.

The answer is clear at a glance. Nokia no longer makes mobile phones, and its focus has shifted to telecommunications manufacturing equipment.

According to a survey by research firm Dell'Oro Group, in the global telecommunications equipment market, Huawei ranks first with a sales share of 28.7%, Ericsson ranks second with 15%, and Nokia ranks third with 14.9%. .

Nokia, which everyone has always thought was "dead", is actually quietly competing for 5G customers from Huawei and Ericsson.

In addition, in addition to being one of the top three telecommunications equipment suppliers in the world, Nokia also has a well-known title - "patent troll". Last year, the patent licensing business alone brought Nokia 1.502 billion euros in revenue, totaling 10.6 billion yuan.

Recently, some media reported an interesting piece of news - the State Administration for Market Regulation is currently investigating antitrust issues in licensing fees from 5G patent holders such as Nokia. After hearing this news, many people's reaction was, was it wrong? Wasn' - DayDayNews

Before Huawei was established, Nokia had already established an electronics department, began to get involved in the telecommunications industry, and concentrated on R&D and patent applications. During the

2G era, Nokia was one of the main patent owners; during the 3G era, Nokia owned a large number of WCDMA patents; during the 4G era, Nokia, which actively participated in LTE research and development, owned a considerable number of LTE patents; during the 5G era, Nokia was trying its best to catch up again, with 4,000 5G core patent family.

Nokia, with such a large patent group, has generated amazing potential at the moment, which not only saved Nokia's life, but also established Nokia's patent monopoly.

"Mobile phones are all of the same origin, and 4G mobile phones are also using 2G technology." Wang Yanhui, secretary-general of the China Mobile Phone Alliance, once said that it is difficult for global mobile phone manufacturers to completely bypass Nokia's patent "wall."

Therefore, although Nokia no longer develops mobile phones and other hardware devices, the company can survive solely by licensing patents, which shows how valuable and important patents are.

The patent war has begun

Today's world is undergoing major changes unseen in a century. A new round of technological revolution and industrial transformation is booming, and competition is becoming increasingly fierce.

The core competition is the competition of intellectual property rights.

Nowadays, the global patent war is raging. Previously, Huawei Samsung patent war has been fighting for a long time; the news of US sanctions ZTE and Huawei are frequently on the screen. The deep-seated reason is to curb China's future dominance in the communications field. More technical say.

In order to reverse China's weak situation in the global patent war, some Chinese companies have the courage to take up the banner of Chinese patents.

Among the global innovation entities, Huawei's performance is outstanding. Innovation is also the core of Huawei's business strategy. Data shows that Huawei has invested nearly 850 billion yuan in R&D in the past ten years, and its R&D investment in 2021 will exceed 20% of the company's revenue.

By the end of 2021, Huawei has accumulated more than 200,000 applications globally, more than 110,000 authorizations, and more than 60,000 PCT applications.Huawei's domestic patent applications also continue to rise, exceeding 10,000 in 2020 and reaching nearly 12,000 in 2021. Even in the face of the US blockade, Huawei still insists on investing at least US$3 billion in basic research every year.

In addition, Chinese Internet companies have also been working hard to increase investment in research and development. Tencent ’s first quarter financial report shows that its R&D investment increased by 36% year-on-year to 15.383 billion yuan. Tencent's R&D expenses have increased by more than 25% year-on-year for five consecutive quarters. In the past three years, Tencent has invested more than 136.6 billion yuan in R&D investment.

is reflected in patents. As of April 2022, Tencent has published more than 56,000 patent applications in major countries and regions around the world, and the number of patent authorizations has exceeded 26,000, of which invention patents account for more than 90%.

Recently, some media reported an interesting piece of news - the State Administration for Market Regulation is currently investigating antitrust issues in licensing fees from 5G patent holders such as Nokia. After hearing this news, many people's reaction was, was it wrong? Wasn' - DayDayNews

In the past year, Alibaba invested more than 120 billion yuan in technology-related costs. At present, Alibaba has obtained more than 10,000 global invention patent authorizations in strategic emerging industries . In the first quarter of 2022, Baidu core research and development expenses reached 5.134 billion yuan. Other data shows that as of April 2022, Baidu has applied for more than 22,000 global artificial intelligence patents, of which more than 16,000 Chinese patent applications have been filed and more than 4,600 Chinese authorized patents have been granted.

The story of Nokia's "rebirth" tells us that key core technologies are the lifeblood of an enterprise and the most important weapon of the country. If you want to have an absolute say in the international market, you must master core technologies.

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