Washington court tells Motorola to expect millions, not billions

Washington court tells Motorola to expect millions, not billions
U.S. District Judge James Robart, in a Seattle federal court, ruled that Microsoft should pay Motorola $1.8 million a year to license some of the latter's standards-essential patents. These are patents that are required to build certain devices and the negotiations for licensing them are supposed to be done in a "Fair, Reasonable, and Non-Discriminatory" manner. The patents in question deal with Motorola's patents for the H.264 video standard and the 802.11 wireless standard. Motorola was seeking $4 billion a year from Microsoft for the rights to use the patents.

In making the ruling, the court said that there were 92 different companies with patents related to the 802.11 wireless standard. If each company were to receive the 1.15% to 1.73% royalty that Motorola is demanding, the cost of using the wireless networking standard would exceed what Microsoft is asking for the Xbox which uses the 802.11 wireless technology.

Both sides issued statements afterward with Microsoft Deputy General Counsel David Howard saying, "This decision is good for consumers because it ensures patented technology committed to standards remains affordable for everyone." Motorola simply said that it "...has licensed its substantial patent portfolio on reasonable rates consistent with those set by others in the industry.”

An Administrative Law Judge last month ruled that Microsoft did not infringe on Motorola's patents covering H.264 and 802.11. This is a separate issue than determining what Microsoft should pay to license the same exact patents. The entire 6 member ITC commission is reviewing that decision.

source: AllThingD

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24 Comments

1. xperiaDROID

Posts: 5629; Member since: Mar 08, 2013

Microsoft should pay Motorola $1.8 million a year to license some of the latter's standards-essential patents? $1.8 million a year?! DAMN JUDGE YOU SCARY! x(

9. anywherehome

Posts: 971; Member since: Dec 13, 2011

yes, Microsoft gets 1 bill from Android manufacturers.....so kill that rotten Microsoft who has bribed probably every county in the world: eg. in Slovakia you MUST have Windows to pay taxes!!! = huge corruption!!!!! bit [dot] ly/RYzOPP

13. xperiaDROID

Posts: 5629; Member since: Mar 08, 2013

Geez.......that's scary!!

14. anywherehome

Posts: 971; Member since: Dec 13, 2011

thats reality! bribes all the gov and "Microsoft bribes Best Buy staff to slam Mac and Linux." even sellers!

15. Sniggly

Posts: 7305; Member since: Dec 05, 2009

We don't get bribed. And frankly, at a lot of stores where we sell Macs you'll find Apple douchebags working the PC department. Now, our computer guys do hate selling Chromebooks, but that's because we make jackall on them unless we sell the extras.

21. anywherehome

Posts: 971; Member since: Dec 13, 2011

You simply lie: bit [dot] ly/RYzOPP

22. stealthd unregistered

DId you read the title of the article? $1.8 million/year is not scary for Microsoft.

2. Sniggly

Posts: 7305; Member since: Dec 05, 2009

Well, at least Motorola's going to get something. Notably, it seems they'll let the decision stand without challenging it. In the meantime, Microsoft can still go f**k itself for trying to sue Google for including Google products and services in Android, Google's operating system. Oh, and I'm sure that the comments section will M.ake for an eX.citing storY.

5. Mxyzptlk unregistered

So it's ok for Motorola to sue and abuse FRAND patents but it's not ok for Microsoft to do the same, who which btw do hold several important patents that Android uses. Oh, and you're not being clever by subtly calling me out with your little spelling.

7. Sniggly

Posts: 7305; Member since: Dec 05, 2009

They sued to get something for their patents, which they weren't previously. Sure, their asking price initially was pretty high, but that's how negotiations work. This is an extant case which is now finally reaching its final stages. And the lawsuit that Microsoft has leveled against Google has nothing to do with patents. Microsoft is trying to say that Google can't include its own apps and services as defaults on Android devices with that lawsuit. And I wasn't calling you out. I was laying out a prediction, which you fulfilled in record time, I might add.

8. UrbanPhantom

Posts: 949; Member since: Oct 30, 2012

Corporations have no soul; it matters little which one wins or loses from an ethical stand point, since there is no good or evil side, only big money playing games with consumers...

16. Aeires unregistered

I once caught a fish that was ... You get the picture, nice job on setting that hook. lol

19. Mxyzptlk unregistered

Their asking price is ridiculous considering they're FRAND patents. I said it before and I'll say it again you can not put a price on something that's fair and reasonable. Microsoft has had several lawsuits against OEMs for patent infringement. The right thing to do is license agreements since everybody wins then. You were calling me out. I just had the be the one to feed you again.

3. Droid_X_Doug

Posts: 5993; Member since: Dec 22, 2010

FRAND was never meant to be used to bludgeon one's competition. OTOH, trying to claim patent protection for rounded corners is the definition of BULLSH*T!

10. ardent1

Posts: 2000; Member since: Apr 16, 2011

You want bullsh!*t!! Bullsh*t is when an idiot that tells the world that ATT plans do a hostile takeover of T-mobile, which happens to be a private concern.

11. Droid_X_Doug

Posts: 5993; Member since: Dec 22, 2010

And your point is?

12. Droid_X_Doug

Posts: 5993; Member since: Dec 22, 2010

Oh, I just remembered - you were the little one that was smugly predicting the merger would go through and then were royally pissed when it didn't. How much did you lose on the transaction? Are you having to work another 10 years before you can retire? Don't play with $ you can't afford to lose.

17. Aeires unregistered

So one carrier taking over another carrier, which affects millions of subscribers, is a private concern. Who knew!

23. stealthd unregistered

You are aware that the design patents for "rounded corners" are not FRAND and have nothing to do with actual technology patents right?

4. Mxyzptlk unregistered

What is it with Motorola wanting to abuse their FRAND patents? Do they not understand the concept of fair and reasonable?

6. Sniggly

Posts: 7305; Member since: Dec 05, 2009

Take a look at my above comment, and quietly weep at your own predictability. In the meantime, seems they weren't getting anything prior to the lolsuit. Now they'll actually get something for the millions they've invested in improving our technology.

20. Mxyzptlk unregistered

Predicatbility? If I made a bet that you'd comment on every article that's about Motorola I'd be a rich man. You can't call me predictable at all. Millions for a fair and reasonable patent is silly.

18. JunkCreek

Posts: 407; Member since: Jul 13, 2012

apple had 1 billion for their rounded corner and bouncing back...

24. techloverNYC

Posts: 601; Member since: Nov 20, 2012

Motorola is trolling on patent right now

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