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OPPO, a global smartphone brand, has complied with a court order to deposit 23% of its sales revenue in India with the Delhi High Court. According to IANS, OPPO has deposited the money in response to Nokia’s patent infringement allegations.
Sources reported that the Chinese smartphone company paid 23% of its sales revenue from about 77 million devices sold in India since 2019 as a penalty. The move was made before the deadline of August 25 set by the court. Although not disclosed, this move indicates that OPPO is sticking to the legal process.
Earlier this month, the Supreme Court dismissed OPPO’s appeal against the Delhi High Court’s order. The Delhi High Court had ordered OPPO to pay 23% of its sales revenue in the country for infringing Nokia’s patents. The Delhi High Court ruled in July, after finding that OPPO had used Nokia’s technology without obtaining the necessary consent.
The 23% penalty is based on OPPO’s sales revenue in India, which accounts for about 23% of the company’s global sales revenue. The move was welcomed by Nokia Technologies, which said: “OPPO has been unwilling to renew its license on fair and reasonable terms, and has not been willing to resolve the issue amicably, and has been using our technology for two years without paying any patent fees.”
Courts in several countries, including India, Germany, UK, Netherlands and Brazil, have ruled in favor of Nokia in patent infringement cases.
Nokia urged OPPO to adopt a fair approach and encouraged the company to sign a license agreement on reasonable terms, similar to its competitors. Previously, OPPO had obtained Nokia’s license in 2018, allowing it to use the Finnish telecom equipment company’s technology for three years.
Nokia said that after the license agreement expired, OPPO continued to use its technology without paying patent fees. It was reported that OPPO sold about 77 million devices in India without paying patent royalties, which has been a point of contention in this case.
As the legal proceedings continue, OPPO’s compliance with the court order marks a significant progress in the ongoing patent dispute.