Lenovo agrees $100 million patent deal
Chinese tech company Lenovo has agreed to buy a series of patents belonging to US licensing group Unwired Planet for $100 million.
Unwired announced the deal, which includes 21 patent families, yesterday, March 20.
A patent family is a group of patents protecting the same invention but filed in different countries.
The companies have not disclosed how many patents were included in the deal but said in a statement that they relate to 3G and 4G technology for mobile phones, as well as “other important” mobility patents.
Jay Clemens, general counsel at Beijing-based Lenovo, said the investment would “serve the company well” as it grows and develops its smartphone and mobile PC Plus business.
Philip Vachon, chair of Unwired's board of directors, said the company was pleased to have reached an agreement with “one of the world's leading” tech companies.
"We wish Lenovo continued success going forward," Vachon added.
Under the terms of the agreement, Lenovo acquires Unwired's IP portfolio, which includes approximately 2,500 issued and pending US and foreign patents.
Lenovo is best known as a PC maker but the company is aiming to break into the mobile phone market beyond Chinese shores.
In January, the company bought Motorola Mobility from Google for $2.9 billion.
The deal came two years after the search company bought Motorola for $12.5 billion, acquiring around 17,000 patents.
However, Google has said it will retain the “vast” majority of that portfolio and license it to Lenovo.
The deal between Lenovo and Unwired is expected to be finalised in 30 days.
