Google, Motorola Mobility Loses Patent Ruling Against Microsoft
Google, Motorola Mobility Loses Patent Ruling Against Microsoft by UCStrategies Staff
Microsoft has won the first of two patent rulings over Google’s Motorola Mobility division, relating to Wi-Fi use and other technology that is employed by Microsoft for its Xbox console and various Windows products.
In exchange for its H.264 and 802.11 technology, Motorola sought 2.25 percent of the net selling price of Microsoft Windows and Xbox products, according to the suit that was filed in November 2010 in U.S. District Court of Washington. This would have resulted in about $4 billion per year for use of the patents, and Microsoft instead insisted that only $1 million should be given to Motorola.
It was ruled last week, by U.S. District Judge James Robart, that $1.8 million should be paid to Google’s Motorola unit by Microsoft, or many cents per unit as a reasonable and nondiscriminatory act (which the suit sought to determine). The ruling from the judge has meant that the second patent trial can go forward and will decide if there was a breach of contract between Microsoft and Motorola.
The CEO of CMIT Solutions of Denver, Debi Bush, said: “The judge seems to be on top of it and maybe it's Motorola looking to capitalize on this. They should have something to do with it and should be financially compensated, but not make it too prohibitive where they can't work with others because they charge high dollars. It needs to be a collaborative effort.”
According to Microsoft, the 802.11 standard and the H.264 standards make use of patented technology, and the company must make use of technology that is covered by one or more patents in order to practice that standard.
This ruling comes as a blow to both Motorola and its parent Google, which purchased Motorola Mobility for $12.5 billion in August 2011.
There have been other legal battles between both Motorola and Microsoft; in 2010, Microsoft claimed that Motorola’s Android-based smartphones utilised some of its own patents.
Microsoft has stated that consumers will benefit from the verdict, and makes sure that technology will stay affordable, whilst Motorola claimed that the rates it was seeking were reasonable and similar to others in the industry. (CY) Link