Apple, RIM in consortium buying Nortel's patent portfolio

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Apple, RIM in consortium buying Nortel's patent portfolio

Multi-billion dollar bid wins auction.

A consortium including Apple, EMC, Ericsson and Research In Motion bought bankrupt telecommunications gear maker Nortel's remaining patent portfolio for US$4.5 billion, in an auction that began early this week.

Microsoft and Sony were also part of the consortium, Nortel said in a statement.

The sale includes more than 6,000 patents and patent applications spanning wireless, wireless 4G, data networking, optical, voice, internet, service provider, semiconductors and other patents.

The sale is subject to Canadian and US court approvals which will be sought at a joint hearing expected to be held on July 11.

RIM's portion of the purchase consideration is about US$770 million, while Ericsson paid US$340 million, the companies said.

Earlier in the day, the company obtained a court order to further extend the stay of proceedings under the Companies' Creditors Arrangement Act (CCAA) to December 14.

Nortel, which filed for bankruptcy in January 2009, has already sold most of its physical assets.

(Reporting by Renju Jose in Bangalore; Editing by Anshuman Daga)

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