21:11 29 August 2018
Nokia is now in a much better, secure spot; thanks to its sustainable business plan that involves licensing 5G technology to others. The plan is much more sustainable than selling Android phones for £700.
The mobile innovator is one of the companies at the forefront of 5G technology, contributing to its development in the form of software and hardware patents to the forthcoming 5G wireless standards. Using its technology, smartphone makers will have to pay Nokia a set rate of £3 each time they sell a 5G-ready device. This means that Nokia will get paid each time Samsung sells something a bit too big and each time Apple convinces a user to upgrade because it has been 11 months since they last upgraded. Nokia will also get paid when someone in 2021 spends £178 on last year’s mid-range 5G Huawei.
Qualcomm business plan is very similar to Nokia’s but it is far more lucrative. By selling rights to use its 5G radio innovations, it can charge up to 3.25per cent licensing fee for each 5G-ready device sold. This means that the company can earn as much as £10 in royalties for every 5G-capable device in the market.