Nortel Completes Sale of Remaining Patents for US$4.5 Billion

Toronto-based telecommunications company Nortel Networks Corporation has completed the sale of its remaining patents and patent applications to a consortium of tech giants, including Apple, EMC, Ericsson, Microsoft, Research In Motion, and Sony, for a cash purchase price of US$4.5 billion. The extensive patent portfolio, comprising over 6,000 patents and patent applications, spans wireless, data networking, optical, voice, internet, and service provider technologies.

Key Takeaways:

• Nortel's sale of its remaining patents and patent applications to a consortium of tech giants marks a significant milestone in the company's creditor protection proceedings.
• The sale includes over 6,000 patents and patent applications, making it one of the largest patent sales in history.
• The patent portfolio spans a wide range of technologies, including wireless, data networking, optical, voice, internet, and service provider technologies.
• The sale is expected to result in the cancellation of Nortel's common shares and preferred shares.
• The patent sale does not include Nortel's other assets, which are still being liquidated as part of the company's creditor protection proceedings.
• Nortel does not expect its shareholder to receive any value from the creditor protection proceedings.
• The patent sale was completed as part of Nortel's efforts to restructure its operations and settle its debts.

Statistics:

• US$4.5 billion: the cash purchase price paid by the consortium of tech giants for Nortel's remaining patents and patent applications.
• Over 6,000: the number of patents and patent applications included in the sale.
• 2011: the year in which Nortel completed the sale of its remaining patents and patent applications.
• 4G: one of the technology areas covered by the patents and patent applications sold to the consortium (Source: "Nortel Announces Sale of Remaining Patents," Marketwire, July 29, 2011).
• Nortel Networks Corporation: the company that completed the sale of its remaining patents and patent applications.

Sources:

• "Nortel Announces Sale of Remaining Patents," Marketwire, July 29, 2011
• "Nortel Completes Sale of Remaining Patents for US$4.5 Billion," Nortel Press Release, July 29, 2011