How dominant can Google's Android operating plan become? Dominant enough for almost an whole market of rivals to hold out a $4.5 billion match up of patent retain away. Now it's time to rev up the lawsuits.
Last week, a consortium that integrated Apple, EMC, Ericsson, Microsoft, research In Motion, and Sony won 6,000 Nortel patents for just about any awesome $4.5 billion. yahoo experienced started out the bidding using a $900 million stalking horse bid, reportedly obtained cute with pi-related offers, and lost its favored opportunity to defend Android using the courtroom. Nortel's patents are just one swell swan observe to the bankrupt telecom equipment provider which has previously been split up and marketed in chunks.
Few functions integrated using the consortium are talking, but Android should be considered a genuine discomfort for Apple, Microsoft, and RIM to all celebration up versus Google. RIM chipped in $770 million and Ericsson additional an extra $340 million to the profitable patent bid. The remaining splits are unknown, but Robert X Cringely reported that Apple build up $2 billion for prolonged phrase Evolution (LTE) 4G patents, with ms and Sony adding $1 billion. ms is staying mum about its role.
The odd point right here may be the actuality that yahoo in the beginning mentioned it experienced been bidding on Nortel's patents to defend versus lawsuits. Apparently, yahoo thinks it could possibly get much better returns on $4.5 billion by having to purchase lawyers to defend Android.
So what's next? Lawsuits. numerous them.
As previously noted, Citigroup analyst Walter Pritchard reckons that yahoo has tiny intellectual home to defend Android. He said:
Google appears to possess pretty tiny IP to defend alone with. The basic protocol when a defendant is faced with an IP infringement accusation will be to "retaliate" with infringement counterclaims and eventually force some sort of cross licensing or other detente as opposed to entering a prolonged and expensive legitimate proceeding that could possibly accomplish result within a expensive or disruptive settlement. with out significant IP of its own, yahoo is not very likely to turn into in a location to deploy this defense...
Cringely mentioned that it's very likely that yahoo will document lawsuits over the $4.5 billion profitable bid with an antitrust and restraint of buy and sell complaint. The research giant will juggle any upcoming match up with its continuing battle with Oracle over Android.
But the genuine battle royale will come about since the consortium moves to sue yahoo over Android. If Oracle vs. yahoo is notable, just wait around until Apple sues over Android. For its part, ms is previously busy collecting royalties over Android. Florian Mueller recaps Microsoft's licensing deals with Android unit makers.
Google wasn't going to heal all of its Android IP issues with Nortel's patents, however it could have obtained just one wonderful collection of defense. dropping Nortel's patents--even on the ridiculous $4.5 billion reselling price tag--may come about back again to haunt yahoo and Android.
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