As with many industries, the mobile industry is full of entrenched players that have been around for a long, long time now. These include Nokia, Samsung and even LG themselves however, it's arguable that Nokia were instrumental in giving birth to the idea of the "smartphone" with their Symbian-powered devices. Since then, a lot has changed in the mobile world, and Nokia tried, yet failed to secure a place in the new world of smartphones and connected devices. Microsoft now own what was left of the Nokia smartphone business, and continue to produce their own lineup of Lumia devices, powered by Windows Mobile.
Even now, there are small blips here and there that continue as fallout from the deal between Nokia and Microsoft, but Nokia Technologies still owns many of the patents that anybody needs to product a smartphone, or anything that connects to a 2G, 3G or even 4G network. LG Electronics and Nokia Technologies have today formally entered a smartphone patent licensing deal, one that Nokia's press release describes as a "royalty-bearing" one. Speaking about the deal, Ramzi Haidamus, President of Nokia Technologies said that they've "worked constructively with LG Electronics and agreed a mutually beneficial approach, including the use of independent arbitration to resolve any differences. This agreement sets the scene for further collaboration between our companies in future."
At the end of the day, patents like these are money, and it sounds like money is just what Nokia is in need of. Patent licensing is a massive source of revenue for Microsoft, which continues to make money off of pretty much every Android smartphone sold in the West. of course, there is the argument that this is good for the industry, if Nokia is willing to make things easier for companies like LG, it shows hope for the future of the industry as a whole, and could help companies stay out of court, while also producing smartphones that give big players like Samsung and Apple something to worry about. The Press Release can be found in the source link below, and shows that Nokia have kept things short and sweet.