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Nokia drops BlackBerry lawsuit, enters licensing deal with RIM

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Nokia has abandoned its efforts to ban BlackBerry devices from sale after agreeing a new licensing deal with Research in Motion (RIM).

The Nordic phone maker previously claimed breach of contract in an existing agreement between the two firms, arguing that a specific type of Wi-Fi connectivity owned by the Lumia platform holder was not covered in the contract.

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However, the Canadian firm is now said to have agreed to pay a one-off charge and make ongoing payments to use the technology in its devices.

"We are very pleased to have resolved our patent licensing issues with RIM and reached this new agreement, while maintaining Nokia's ability to protect our unique product differentiation," said Paul Melin, Nokia's chief intellectual property officer.

The news comes as RIM prepares to launch its BlackBerry 10 operating system and new slate of devices, which are seen by many as the company's last chance to remain profitable.

RIM recorded profits of $9 million (£5.5m) during its most recent fiscal quarter, a sharp decline from the $265m its earned during the same period last year.

The firm's global subscribers also fell by one million over the last three months.

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