The plot thickens: Zi Corporation signs multi-year renewal with Nokia

Zi has renewed its License Agreement with Nokia Corporation for a multi year period. The License Agreement provides for the deployment of Zi’s eZiType™ and eZiText™ product offerings on Nokia’s wireless phones and covers a full suite of languages. The contract includes a significant initial payment to be paid after closing, and then quarterly installments from then on during the life of the contract.

From the press release:=                                                                                   
“This is a banner day for our entire organization,” commented Milos Djokovic , President and Chief Executive Officer of Zi Corporation.  “Nokia is the world’s #1 manufacturer of mobile devices, with an estimated 40% share of global device market, selling approximately 437 million mobile phones in more than 150 countries in 2007.  This renewal expresses Nokia’s confidence in Zi as a key supplier and opens the door for further opportunities to work with Nokia on other projects. It is also a testimony to the employees of Zi who continue to work diligently in executing the turnaround strategy this management set in motion almost 2 years ago.” Djokovic concluded.
What we think?
Hmmm. The plot thickens. Zi has extended its license renewal with Nokia for eZiType and eZiText.  This means that eZi will be in 437 million phones. Tegic is in over 1 billion phones but since Nuance took it over it has belly flopped and I must have missed any huge announcements. Nuance tried and failed to buy Zi and now its taking Zi to court.

What does this mean?
1. Nuance has done a poor job with Nuance
2. Multi-modal voice and text was too much to ask too early.
3. Zi is ramping it up and eying market leader position.

I am meeting Nuance at CTIA and I can’t wait to get the real deal.

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5. Nokia Germany EUR 200 million back to workers in Bochum