Commitments, contingencies and legal proceedings

12 Months Ended

Dec. 31, 2024

Commitments, contingencies and legal proceedings

Commitments, contingencies and legal proceedings

6.1. Commitments, contingencies and legal

proceedings

Contractual obligations

EURm	Within 1 year	1-5 years	More than 5 years
2024
Purchase obligations	2 538	697	3
Lease commitments(1)	9	86	573
2023
Purchase obligations	3 630	767	14
Lease commitments(1)	—	54	570

(1)Relates to lease contracts that had not yet commenced as at the reporting date.

At 31 December 2024, Nokia has potential undiscounted future

lease payments of EUR 812 million (EUR 838 million in 2023)

relating to extension options not expected to be exercised and

EUR 58 million (EUR 33 million in 2023) relating to termination

options expected to be exercised that are not included in the

lease liability.

Guarantees and financing commitments

The contingent liabilities in the table below represent the

maximum principal amount of guarantees and financing

commitments, and do not reflect management’s expected

outcomes.

EURm	2024	2023
Guarantees on behalf of Group companies
Guarantees issued by financial institutions
Commercial guarantees(1)	964	1 477
Non-commercial guarantees	498	615
Corporate guarantees(2)
Commercial guarantees(1)	263	325
Non-commercial guarantees	33	35
Financing commitments
Customer finance commitments(3)	11	5
Venture fund commitments(4)	306	381

(1)Commercial guarantees are guarantees that are issued in the normal course of

business to Nokia’s customers for the performance of Nokia’s obligations under

supply agreements; these include tender bonds, performance bonds and warranty

bonds.

(2)Corporate guarantees are guarantees with a primary obligation that are issued to

Nokia’s customers and other third parties.

(3)Customer finance commitments are available under customer loan facilities.

Availability of the facility depends on the borrower’s continuing compliance with the

agreed financial and operational covenants, and other administrative terms of the

facility. The loan facilities are primarily available to fund purchases of network

infrastructure equipment and services. Refer to Note 4.5. Trade receivables and

other customer-related balances.

(4)As a limited partner in NGP Capital and certain other funds making technology-

related investments, Nokia is committed to capital contributions and entitled to

cash distributions according to the respective partnership agreements and

underlying fund activities.

Legal matters

Accounting policies

Nokia discloses ongoing legal matters that relate to possible obligations whose existence

will be confirmed by the occurrence or non-occurrence of one or more uncertain future

events not wholly within the control of Nokia. These matters are assessed continually to

determine whether an outflow of resources embodying economic benefits has become

probable so as to recognize a provision.

Nokia is and will likely continue to be subject to various legal proceedings that arise from time

to time, including proceedings related to intellectual property, antitrust, commercial disputes,

product liability, environmental issues, tax, health and safety, employment and wrongful

discharge, sales and marketing practices, international trade, securities, privacy matters and

compliance. While management does not expect any of the legal proceedings it is currently

aware of to have a material adverse effect on Nokia’s financial position, litigation is inherently

unpredictable, and Nokia may in the future receive judgments or enter into settlements that

could have a material adverse effect on its results or cash flows.

Litigation and proceedings

Mass labor litigation in Brazil

Nokia is defending against a number of labor claims in various Brazilian labor courts. Plaintiffs are

former employees whose contracts were terminated after Nokia exited from certain managed

services contracts. The claims mainly relate to payments made under, or in connection with,

the terminated labor contracts. Nokia has closed the majority of the court cases through

settlement or judgment.

Asbestos litigation in the United States

Nokia is defending approximately 300 asbestos-related matters, at various stages of litigation.

The claims are based on premises liability, products liability, and contractor liability. The claims

also involve plaintiffs allegedly diagnosed with various diseases, including but not limited to

asbestosis, lung cancer, and mesothelioma.

Intellectual property rights litigation

Amazon

In 2023, Nokia commenced patent infringement proceedings against Amazon in several

countries. The patents in suit cover video-related technologies implemented in Amazon’s

services and devices. Amazon filed patent infringement proceedings in relation to its patents

against Nokia in the US and counterclaims to Nokia’s actions, including a UK rate setting action.

Amazon’s appeals against the preliminary injunction awarded to Nokia in a regional court in Brazil

were denied. In September 2024, a regional court in Germany ruled that Amazon was infringing

one of Nokia’s patents and issued an injunction.

Litigations concluded during the year

During 2024, Nokia has concluded separate multi-year patent license agreements with OPPO,

vivo, Verifone and HP, thereby resolving all pending patent litigations between the parties in all

jurisdictions. In addition, in 2024, Continental withdrew the breach of contract and FRAND (fair,

reasonable and non-discriminatory terms) -related claims it had brought against Nokia, thus

ending the on-going dispute between the parties.