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RIM loses in arbitration with Nokia, may have to pay royalties on BlackBerrys with WiFi

Thorsten Heins of RIM and Stephen Elop of Nokia

Nokia and RIM already have a troubled history whenever they come into contact, so it's no surprise that what truces they do have are fraying at the edges. Thanks to filings, we now know that RIM has lost a Swedish arbitration proceeding where it tried to extend a 2003 patent cross-licensing deal with Nokia to include WiFi devices; the wireless technology isn't covered, the arbitrator says, and RIM now has to either pay royalties worldwide or risk seeing its devices yanked from the market. Nokia isn't wasting any time pressuring the team in Waterloo into coughing up -- it's taking steps to enforce the decision in Canada, the UK and the US. RIM has so far turned down any comment, although it's more likely that their firm will cut a deal rather than risk a sweeping ban. Consider it another of the many hurdles for RIM to jump on the road to January 30th.

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Source: Reuters