Motorola settles litigation with Huawei, clearing way for NSN deal

Motorola Solutions (NYSE:MSI) and Chinese vendor Huawei agreed to settle all pending litigation between the two companies, clearing the way for Motorola's sale of its wireless networks business to Nokia Siemens Networks. Separately, Motorola said it renegotiated the price tag of the deal from $1.2 billion to $975 million.

Huawei had asserted that the Motorola-NSN deal would expose Huawei's trade secrets to NSN. Motorola has sold Huawei's network products under its brand since 2000. For its part, Motorola had accused Huawei of stealing its own trade secrets in a separate lawsuit.

The terms of the deal were not disclosed.  However,  Motorola will pay Huawei a one-time fee, and Huawei will allow NSN to receive and use Huawei's confidential information to service the networks Motorola deployed worldwide using Huawei's products and technologies.

Huawei's lawsuit was one of the key obstacles blocking the Motorola-NSN deal, which is being reviewed by Chinese antitrust regulators. Motorola said it now expects to close the deal on April 29. The transaction, which was first announced in July, is expected to improve NSN's position in the U.S. market as well as in Japan.

For more:
- see this release
- see this Reuters article
- see this WSJ article (sub. req.)

Related Articles:
Motorola hopes to close NSN deal by end of Q2
Report: Nokia Siemens reworking Motorola deal for Chinese approval
Nokia Siemens' $1.2B Motorola acquisition put on ice, again
Huawei wins round of legal wrangling over Motorola-NSN deal
NSN hopes to close Motorola deal in Q1, reassures Huawei on IP
Huawei: Motorola is illegally giving our IP to NSN
NSN's acquisition of Motorola's network assets is delayed
NSN snags Motorola's wireless networks unit for $1.2B

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