Nortel may raise $1.1bn from patents sale

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The last remains of Nortel’s once flourishing business, its patents, are now up for sale

Nortel Networks may raise nearly $1.1 billion from the sale of its technology patents, according to US reports. The insolvent Toronto-based company has 4,489 patents granted and 963 pending applications.
Almost all of the rest of Nortel’s operations have been sold off, leaving only the company’s intellectual property. The potential bidders are expected to include Research In Motion, Ericsson and Cisco Systems.
Nortel has begun soliciting bids for the patents. It is reviewing how to “maximise the value” of the patents and is in talks with a “wide range” of companies to determine their interest. It is yet to decide whether a sale, licensing, a combination of the two or another alternative is the best choice, Jamie Moody, a Nortel spokeswoman, told Bloomberg.
Nortel’s patents will give buyers access to technology used in wireless networks that support smartphones, such as Apple’s iPhone. Nortel, which filed for bankruptcy protection in January 2009, has since sold businesses and the patents are among the last of its assets. GTB