Qualcomm and Nokia in legal deadlock

3GSM: Qualcomm chief Paul Jacobs has said only outside intervention will resolve the ongoing battle between the two companies

Qualcomm chief executive Paul Jacobs has revealed that he believes there will be no ceasefire between the company and Nokia in an ongoing legal battle over licensing between the two.

Qualcomm filed suit against the Finnish phone maker in both UK and US courts last year, alleging patent infringement, after negotiations between the two failed to agree a new licensing agreement for a deal set to expire this April.

Jacobs told delegates at this year's 3GSM World Congress in Barcelona that he believes there will be no settlement without the intervention of other parties.

He said: "The negotiating teams are fairly far apart. It is my personal view it will take some external intervention to get some movement."

Should Nokia refuse to sign the deal, the financial impact could be four to six cents on its expected profits per share during the 2007 fiscal year according to a recent results call.

More legal action may yet be on the cards. Jacobs said: "If they continue to use our intellectual property and aren't paying for it, we will take whatever steps necessary to protect our rights."

As well as legal action on both sides of the Atlantic, Qualcomm has taken its case to the International Trade Commission and is seeking an injunction banning Nokia from importing phones into the US.