Microsoft’s Nokia Acquisition in China Expected to Face Limits on Patent Licensing Fees.
A recently published report suggests that China’s Ministry of Commerce may consider antitrust violations if Microsoft is allowed to go ahead with its purchase of Nokia’s Devices and Services business. The sources also claim that the Chinese government might ask both Microsoft and Nokia to reduce their patent-licensing fees in return for approval on the purchase. In a similar situation back in 2012 when Google acquired Motorola’s patents, the Chinese government had held back on approval of Google’s acquisition of Motorola until Google agreed to keep a free licensing policy for the Android OS.
It appears that the Chinese government does not want Microsoft to use Nokia’s patents to bring in revenue by forcing Chinese handset makers to pay licensing fees. Media outlets have reported that Huawei Technologies Co. and ZTE have asked China’s Ministry of Commerce to set conditions on the deal making sure Microsoft doesn’t raise patent licensing fees. The ministry is conducting an anti-monopoly review of the deal.
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