Today, the hot segment is smartphones

"Nokia's brand name is in more traditional handsets, which are not selling now," Kagan asserted. "Today, the hot segment is smartphones."

Following Apple's "supercharging" of the smartphone segment two and a half years ago with the iPhone, "now we see smartphone makers like Apple, RIM, Palm, Samsung, LG and others doing strong business," he pointed out. "Nokia is trying to restart their sales engine."

The company sees two benefits to the suit, Kagan said. "One is to slow down Apple, if possible," he explained. "Two is that this is another revenue opportunity for Nokia, and Apple is not playing along."