According to an official statement issued a few hours ago, Nokia and Xiaomi announced that they have signed a business cooperation and patent agreement. Under the agreement, the two companies will license each other's standard cell core patents and thus Xiaomi has acquired several patent assets.
Under the agreement, Nokia will provide network infrastructure equipment to the Chinese company and improve the network capacity and low performance of the Chinese manufacturer's smartphones. The deal also mentions that both companies will work closely together on data and connectivity solutions and explore further opportunities in the internet world.
Analysts believe Xiaomi could make significant gains from this deal, leveraging Nokia's rich patent portfolio to break into Western markets. It currently has a presence in more than 30 countries and regions, but the majority of these are in the SEA region. The Finnish company, on the other hand, could learn a lot from Xiaomi's Mi ecosystem, which currently has 60 million connected devices, of which 8 million are active every day!
