Finnish company Nokia and Chinese handset maker Xiaomi Technology have signed a multi-year patent licensing agreement. Under this business agreement, Nokia will be providing the network infrastructure equipment aimed at data center operators. Both the companies will now work together on optical transport solutions for data center interconnect, IP Routing which is entirely based on Nokia’s new FP4 network processor that was announced in February, and a data center fabric solution.

This new business agreement will benefit Xiaomi with its IoT ecosystem platform that currently has over 60 million connected devices and with 8 million daily active, connected devices on the Mi Ecosystem platform.

In an another report, HMD Global, and Xiaomi have collaborated for Nokia’s next smartphone. HMD will be using the Xiaomi’s latest Surge S1 SoC for its Nokia brand future mid-range smartphones. The Surge S1 is Xiaomi’s latest and first ever attempt in SoC lineup which was used in the Xiaomi Mi 5C that was launched last year in China.

Nokia is one of the oldest brands in the smartphone industry, and Xiaomi just started expanding pretty rapidly in the market. Now, both the companies will collaborate to manufacture smartphone for Nokia which will have Xiaomi’s Surge S1 SoC.

The Xiaomi Surge S1 is a 28 nm chipset which houses eight 64 bit ARM Cortex-A53 CPU cores. These cores are set up in a 4+4 formation which can hold up to 2.2 GHz clock frequency. Surge S1 packs Mali T860 MP4 GPU and also supports VoLTE connectivity, eMMC 5.0 storage and dual channel LPDDR3 RAM with up to 933 MHz frequency.

The Xiaomi’s Surge S1 chipset has some premium competitors like the Qualcomm Snapdragon 625, HiSilicon Kirin 655 and the MediaTek Helio P20. These processors are running in some of the best mid-range smartphones, and now the Surge S1 is here to tackle them with Nokia’s smartphone.

It is also reported that Xiaomi is working on another chipset which is a successor to Surge S1. Surge S2 is being made on a 16nm process node. Once Xiaomi finishes the productions of the Surge S2, Nokia will be using the chipset for their upcoming mid-range smartphones.

It’s worth mentioning that Xiaomi deal with Nokia is nowhere related to HDM Global. As both these agreements are different altogether.