SEOUL, South Korea - Samsung Electronics Co. has signed an agreement with Google Inc. (GOOG) to cross-license their patents, reducing the risk of costly legal disputes over intellectual property and likely fostering greater collaboration between the two tech giants.
Seoul-based Samsung said Monday that
the deal covers patents to be filed over the next 10 years as well as existing
patents. Financial terms were not disclosed.
Allen Lo, a deputy general counsel at
Google, said in a statement that the deal allows the two to reduce the
potential for litigation and to focus on innovation.
Samsung said it also paves the way for
deeper collaboration on research and development for Samsung and Google. The
two already collaborate on smartphones and televisions.
The announcement means there will be a
higher possibility for Samsung to participate in Google's key projects as a
hardware partner, said Chung Chang-won, an analyst at Nomura Financial
Chung picked wearable PCs, which
connect everyday objects such as glasses to wireless networks, and Google's
self-driving cars as the products that Samsung could join forces on with
Samsung is the world's largest maker
of popular consumer electronics such as smartphones and televisions, and key
tech components such as memory chips for mobile phones and PCs.
Google, the world's largest search
company and maker of the most used mobile operating system, Android, has been
moving to acquire hardware manufacturers such as Motorola Mobility and Nest
Tech companies often use litigation to
stop rivals from using patents without permission but many of the disputes end
in cross-licensing agreements outside court.
Samsung, maker of Android-powered
Galaxy devices, is in legal fights with Apple. CEOs of Samsung and Apple are scheduled to meet next month to give a try at settlement per U.S. court's