Amazon/Nokia Patent: How Nokia Tech Powers Video Streaming
The global streaming market continues to expand as competition for viewers intensifies, pushing technology licensing into focus.
This means that patents covering video compression, content delivery and hardware systems have become valuable assets for technology companies and streaming platforms as they bid to provide better experiences for viewers.
After announcing it was launching litigation against Amazon in October 2023 for what it described as the unauthorised use of its video-related technologies in its streaming services and devices, Nokia says it has reached a patent agreement with Amazon, covering Nokia's video technologies in Amazon's streaming services and devices.
The agreement resolves all pending patent litigation between the companies across all jurisdictions.
From video compression to recommending your next favorite show
Nokia's video technology capabilities extend back to the early 1990s, with the company playing a central role in the development of video compression technology that enables the transmission of large data files across the internet – a fundamental requirement for modern streaming services.
“We hold one of the world’s strongest patent portfolios of connectivity and multimedia technologies – and it is no exaggeration to say that entire industries are powered by these inventions,” says Arvin Patel, Chief Licensing Officer New Segments at Nokia.
Today, it has established a position in the development of video and multimedia technologies, building a portfolio that encompasses video compression, content delivery networks, content recommendation systems and hardware-related innovations.
Now, the company reports creating nearly 5,000 inventions in multimedia products and services over the past 25 years, while continuing to participate in multimedia research and industry standardisation efforts.
Nokia’s inventors have been involved in the development of all market-adopted video codecs, from H.264/Advanced Video Coding in the early 2000s to H.266/Versatile Video Coding completed in 2020.
Each generation of these codecs has halved the bitrate required compared to predecessors without compromising picture quality.
Beyond compression, Nokia's portfolio includes technologies for content optimisation when switching between portrait and landscape video formats and systems that enable fast-forwarding or rewinding while simultaneously displaying the current scene.
The company has also developed technologies for personalised content recommendation systems.
Furthermore, Nokia's multimedia research has earned five Technology & Engineering Emmy Awards, with the company creating nearly 5,000 inventions in multimedia products and services over the past 25 years.
How Amazon streaming services benefit from Nokia video innovations
The agreement between Nokia and Amazon shows the continued relevance of Nokia's technology research in the streaming media space, where patent licensing can provide returns on historical research investments.
- Nokia and Amazon have signed a licensing deal
- The deal secures Amazon’s legal use of Nokia’s technologies
- The agreement shows Nokia's focus shift from consumer products to technology licensing and network infrastructure
For Amazon, the agreement secures legal rights to technologies that support its Prime Video streaming service and devices such as Fire TV products, which compete with streaming platforms from Netflix, Disney and other content providers.
The patent agreement also comes as Amazon continues to expand its content offerings through Prime Video, which has invested in exclusive sports rights including NFL Thursday Night Football and Premier League matches in the UK.
Additionally, Amazon's Fire TV devices remain among the most widely used streaming hardware platforms globally, with over 200 million units sold worldwide according to market research firm Parks Associates.
Now with the resolution of patent disputes, Amazon can focus on content acquisition and platform development rather than legal challenges as competition intensifies with platforms like Netflix, Disney+ and Apple TV+.
Arvin says: “We are pleased to have reached agreement on the use of Nokia's video technologies in Amazon's streaming services and devices.”
Nokia research investment reaches new heights
The agreement highlights Nokia's long-term research and development operations, which the company reports has received over €150bn (US$162.57bn) in investment since 2000.
In 2024 alone, Nokia invested €4.5bn (US$4.86bn) in research and development across its technology portfolio, including cellular communications and multimedia systems.
This sustained investment has allowed Nokia to maintain its patent position even as its business model has shifted away from consumer products toward network infrastructure, software and technology licensing.
The Amazon agreement is another commercial application of Nokia's intellectual property in markets beyond its core telecommunications equipment business, where it competes with companies like Ericsson and Huawei in providing 5G network infrastructure.
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