The Nokia-Daimler dispute over tech licencing, in which the automaker wanted to purchase 3G and 4G licences from the telecoms provider, has reached a conclusion.
Daimler has agreed to a settlement paying Nokia for using its patents, forming a trend as tech companies want automakers to pay for the processes used in navigation systems and the push towards autonomous vehicles.
However, automakers claim suppliers should pay the costs instead, which has caused friction between the two parties.
Read more: Nokia-Daimler dispute referred to European Court
The case was referred to the European Court of Justice back in November 2020.
The debate became so heated, the European Commission began looking at the system for using patents and how they can best reduce arguments relating to it.
A joint statement released on Tuesday reveals the two companies reached a mutual agreement.
"Under the agreement, Nokia licences mobile telecommunications technology to Daimler and receives payment in return," it said.
"The parties have agreed to settle all pending litigation between Daimler and Nokia, including the complaint by Daimler against Nokia to the European Commission," it added.
A number of other automakers hoping to break into self-driving cars have already bought their licences for the technology.
Nokia has claimed it offered Daimler a similar price to other key players, adding that it was "entitled" to recoup the billions invested in the infrastructure and networks.
If the court ruled in favour of the Finnish telecoms giant, it could have legally prevented the sale of any Daimler vehicle equipped with Nokia technology.
The joint settlement will formally end the legal disputes between the two companies.
A Daimler spokesperson said in a statement: “We welcome the settlement — from an economic point of view and because we avoid lengthy juridical disputes.”
There are currently significant technological hurdles in the way of true self-driving cars.
VW and Microsoft have teamed up in order to deliver autonomous vehicle technology as VW looks to shift away from being solely focused on the automotive sector and break ground as a technology giant.
This comes a few months before nations such as the UK and Germany look to legally pave the way for self-driving cars in the coming years.
Read more: Germany aims to have self-driving vehicles on roads by 2022
The technologies used are still relatively new and it is unlikely fully autonomous vehicles will be on the roads during this decade.
For example, the UK's ruling specifies autonomy within certain breaking and accelerating functions, which could theoretically allow the car to drive itself in certain traffic conditions.
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