patents

Microsoft adds LG as an Android licensee – now cover 70% of the US Android market

January 12, 2012 | By Surur

Microsoft has announced that it has added LG as an Android licensee. The license “provides broad coverage under Microsoft’s patent portfolio for LG’s tablets, mobile phones and other consumer devices running the Android or Chrome OS Platform.”

Together with other Android licensees HTC, Samsung and Acer, 70% of the US market are now covered by the Microsoft licence, leaving Motorola, who is currently in litigation with Microsoft, as the main hold-out.

“We are pleased to have built upon our longstanding relationship with LG to reach a mutually beneficial agreement. Together with our 10 previous agreements with Android and Chrome OS device manufacturers, including HTC, Samsung and Acer, this agreement with LG means that more than 70 percent of all Android smartphones sold in the U.S. are now receiving coverage under Microsoft’s patent portfolio,” said Horacio Gutierrez, corporate vice president and deputy general counsel, Intellectual Property Group at Microsoft. “We are proud of the continued success of our program in resolving the IP issues surrounding Android and Chrome OS.”

The new licensee is interesting, given that Microsoft’s case agaisnt Barnes and Noble, another prominent hold-out, is felt to be somewhat shaky, with Microsoft recently withdrawing one of the patents it was using against the company.

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Initial determination by ITC finds Motorola violates 4 of Microsoft’s patent claims

December 20, 2011 | By Surur

infringing

An example of an infringing device.

Microsoft won the first step of its battle to win license fees from Motorola for use of its patents in Android.

The ITC has made a final preliminary finding that Motorola Mobility is in violation of one of Microsoft’s patents, U.S. Patent No. 6,370,566 which allows users to “schedule an appointment anytime, anywhere, and invite others to attend, making easy use of email addresses and contact information and synchronizing calendars across their phone, PC and other devices.”

The panel found Motorola did not infringe 5 other patients however.

In a statement Microsoft said:

We are pleased with the ITC’s initial determination finding Motorola violated four claims of a Microsoft patent. As Samsung, HTC, Acer and other companies have recognized, respecting others’ intellectual property through licensing is the right path forward.

It is of note that, while Microsoft has been attempting, relatively successfully, to extract license fees from Android OEMs, their aims are very different from Apple’s litigation, which is explicitly aimed at “going nuclear” on the Google mobile OS.

The finding is just the first part of the process. The next step is a final determination by the six-member commission followed by the ITC judge takes the staff’s opinions into account in making a final decision.

ITC bans importation of HTC’s Android devices in US

December 19, 2011 | By Surur

htclogo

The ITC has solidly come down on the side of Apple, banning importation of HTC’s Android devices which violate two claims of patent #5,946,647, which is a system level patent issued in 1999 on analysing and linking data structures.

The patents implicate all of Android, and not just HTC’s implementation, which would make it difficult for HTC to remediate in the 4 months before it goes into effect on the effect on April 19, 2012 .

This of course leaves HTC with their library of Windows Phone 7 handsets in USA, which may explain the rumours of a HTC LTE Windows Phone on AT&T a mere 2 months after the HTC Titan has been released.

HTC has however said “… we are well prepared for this decision, and our designers have created alternate solutions for the ‘647 patent” but the decision may still prompt HTC to spend a bit more time on Windows Phone 7.

HTC may ignore German patent ban, risks 250,000 euro per phone fine

November 29, 2011 | By Surur

nrd2151-i2 HTC has said it will ignore the IPCom patent complaint which was decided against the company, and which would ultimately lead to a ban in the sale of HTC handsets, including their Windows Phones ones, in Germany.

HTC said that Ipcom’s intellectual property claim had already been ruled invalid by the German Federal Patents court in December 2010, but notable experts disagree. The patents relate to how phones connect to 3G base stations.

HTC has dropped its appeal case against an earlier decision which favoured IPCom, leaving the company with a default judgement.

"Since HTC has never come up with an offer that adequately reflects the value of these patents, Ipcom has been left with no choice – we will use the right awarded by the courts, likely resulting in HTC devices disappearing from shops during the crucial Christmas season," said Ipcom’s managing director, Bernhard Frohwitter.

He added that if HTC ignored the order Ipcom would ask for the phone maker to be fined.

"It’s up to the court and could go up to 250,000 euro (£213,000) per violation per phone," Mr Frohwitter said.

Ipcom said it has now told HTC that it intends to enforce the ban.

What IPCom is however after is ultimately license fees. He added that Ipcom was still willing to settle, providing HTC agreed to pay a "fair" licence fee.

HTC only sold 1.43 million phones into Germany in the last 9 months, making it an important but not vital market. It remains to be seen if HTC is willing to deal or not.

Microsoft licenses 200 IP messaging patents from Openwave

November 4, 2011 | By Surur

Openwave Systems, who is in the process of suing Apple and RIM, have reached an agreement with Microsoft to license their portfolio of 200 patents.

The portfolio include several foundational patents covering smart device and cloud technologies, among others. The patents have been described as “covering a range of smartphone core features and functions,” by Erin-Michael Gill, managing director and chief intellectual property officer at MDB Capital Group, and difficult to work around.

Openwave Systems Inc.is a global software company delivering context-aware mediation and messaging solutions that enable communication service providers and the broader ecosystem to create and deliver smarter services.

In August 2011, Openwave filed complaints with the International Trade Commission and in the United States District Court for the District of Delaware against Apple and Research In Motion (RIM) alleging that Apple and RIM products infringe certain Openwave patents.

Microsoft, who themselves is on a patent licensing spree, has had a pre-existing relationship with the company, buying Musicwave from them in 2007, and worked with the company as far back as 2004 to offer MSN Mobile services to Openwave’s mobile platform.

While it is unlikely licensing Openwave’s patents will allow Microsoft to deliver new features, it does likely smooth their way to rapidly releasing features like Skype integration in Windows Phone 7, without being tied up in litigation.

5

Microsoft Signs Quanta Computer Under Android Patent Agreement

October 13, 2011 | By Pradeep

Another one added to Microsoft’s growing list of Android patent agreement deals. This time its, Quanta Computer. As usual, Microsoft will receive royalties from Quanta for its Android and Chrome devices.

Press Release:

REDMOND, Wash. — Oct. 13, 2011 — Microsoft Corp. and Quanta Computer Inc. have signed a patent agreement that provides broad coverage under Microsoft’s patent portfolio for Quanta’s tablets, smartphones and other consumer devices running the Android or Chrome Platform. Although the contents of the agreement have not been disclosed, the parties indicate that Microsoft will receive royalties from Quanta under the agreement.

“We are pleased to have reached this agreement with Quanta, and proud of the continued success of our Android licensing program in resolving IP issues surrounding Android and Chrome devices in the marketplace,” said Horacio Gutierrez, corporate vice president and deputy general counsel, Intellectual Property Group at Microsoft.

3

Apple applies for patent for in-app purchasing

October 9, 2011 | By Surur

Apple has applied for a patent for in-app purchasing. The technique and method for purchasing content while inside an application is summarized as such:

The present technology provides a purchasing interface within an application that allows users to purchase a product from another source without leaving the application. The application offers a product for purchase, and a user, desiring to purchase the product can provide an input effective to cause a purchasing interface to be displayed. While the purchasing interface, or information presented therein, comes from the product source, which is different than the application source, it is presented in such a fashion that gives the impression to the user that they are purchasing the product directly from the application.

The patent would place it at odds with Lodsys, who already has a patent for in-app purchasing which Apple licenses.

In-app purchasing is becoming an increasingly important source of revenue for developers trying to monetise their free applications, and does not yet have a real presence on Windows Phone 7. Microsoft has recently released a game, Beards and Beaks, which does use Xbox Live credits, and may be a work-around for the Lodsys patents, but this has not been rolled out to regular developers yet.

According to Berg Insight In-App purchasing generated 300 million euros last year, will grow to €750 million this year, and hit €3.5 billion in 2015, so it is certainly an area which Microsoft also needs to address urgently.

Via Electronista.com

5

Microsoft to make $444 million in revenue from Android licenses in FY 2012

September 29, 2011 | By Surur

Goldman Sachs analysts have estimated Microsoft could earn as much as $444 million from Android patent licensing over the next 12 months starting July 1, 2011.

They arrive at the number by estimated that Microsoft will receive between $3 and $6 in fees from each Android device sold, following Samsung also agreeing to pay Microsoft for the privilege of using the so-called “free” OS.

While the amount is a drop in the bucket, it does give Microsoft added influence with OEMs, and proves Steve Ballmer’s assertion that Android is not free, and comes with licensing fees that have to be paid.

It does further open the door to Android OEMs using more Microsoft products directly, like Bing Search and Exchange Activesync, and distance Google’s association with their own OS.

Ultimately with an estimated $75 billion in revenue $444 million for Microsoft is simply a line item, but is is certainly a lot more than Google will be earning from the OS.

Microsoft signs Samsung up as Android licensee, wins closer collaboration on Windows Phone

September 28, 2011 | By Surur

Brad Smith, Microsoft’s general counsel, has just tweeted the above rather celebratory message. It appears Microsoft has been successful in its patent negotiations with Samsung, which was rumoured to involve a license fee between $5 and $15 per Android handset.

Brad clearly sees this as the start of a chain reaction, tweeting:

Under today’s agreement, Microsoft will receive royalties for Samsung’s mobile phones and tablets running Android. Today’s agreement demonstrates we now have a clear path forward for resolving the industry’s mobile patent issues. #clearpathforward. While we haven’t yet reached the beginning of the end of mobile patent issues, perhaps we have now reached the end of the beginning.

With the largest Android OEMS, HTC and Samsung, both licensing Android, the rest of the industry, excluding Motorola, are very likely to fall in line, resulting in a handy revenue stream for Microsoft and an increased incentive for OEMs to user Windows Phone 7.

The interesting part of course is how this will affect the Samsung/Apple litigation, but Apple’s aggressive moves against Samsung were likely critical in giving the giant OEM the the final push to signing up.

It seems also this would put the nail in the coffin of the rumours that Samsung was ending Windows Phone 7 development (possibly spread by Samsung themselves as a negotiating tactic) and we can look forward to some great thin and light Windows Phones from the company in the future.

Update: See the official press release after the break:

Continue reading →

18

Microsoft adds Acer and ViewSonic to its Android licensing program, working its way up to Motorola

September 8, 2011 | By Surur

Microsoft has continued to succeed in its efforts to convince Android OEMs to pay Microsoft for the privilege of using the supposedly open source OS.

Microsoft announced today it was adding Acer and ViewSonic to its licensing program, with the companies joining HTC, Itronix and Velocity Micro. Microsoft is said to be in negotiations with Samsung already, and being close to getting Motorola’s handset imports into USA banned.

Much have been made of Microsoft possible earning more revenue from its Android licensing than from selling Windows Phone 7 licenses, but if the rumour that Google makes $6 from each Android user holds true, Microsoft may be making significantly more than even Google from Android.

Via Engadget.com

Thanks Milad for the tip.

3

Apple says its OK for the ITC to ban HTC’s Android handsets, as they could always sell more Windows Phones

September 2, 2011 | By Surur

Fosspatents has posted about the latest machinations of Apple’s case against HTC, in which HTC has already been found to infringe 2 of Apple’s patents.

With the ITC considering a ban, HTC made arguments about this being against the public interest.

Apple however countered, saying "[t]he present investigation does not present an instance where a compelling public interest might supersede the entry of a statutory exclusion order".

They continued:

Apple, however, argues that "[c]onsumers do not face any potential shortage of like or directly competitive products in the United States". Since Apple and HTC agreed at an early stage of the investigation that Apple’s infringement assertions were related only to Android-based products, Apple points out that, "therefore, even HTC itself could potentially replace the volume of articles subject to a remedial order in this investigation within a commercially reasonable time" by selling more Windows-based HTC phones instead of Android-based ones.

While the case is still on-going, and it will likely result in HTC and/or Google releasing a work-around to the infringement, it would be pretty satisfying to see HTC being forced to seriously promote Windows Phone 7 in USA, just to stay in the market there.

Read (a lot) more at Fosspatents here.

17

Microsoft has a “passive economic interest” in Mosaid/Nokia deal

September 2, 2011 | By Surur

Showing once again that there is quite a bit going on behind the scenes, and that Nokia and Microsoft is even closer than one thinks, it seems Microsoft will be a beneficiary of Mosaid’s licensing and litigation with ex-Nokia patents.

Horacio Gutierrez, Corporate Vice President and Deputy General Counsel told Mary Jo Foley:

“Over the years, Nokia has developed one of the world’s highest-quality patent portfolios in the mobile phone industry, representing decades of innovation as a worldwide leader in the field. We are pleased to have secured a license to the Nokia patents now acquired by MOSAID for Microsoft’s products and services. In return, we have a passive economic interest in the revenue generated from the licensing of those patents to third parties. The marketplace for intellectual property is incredibly dynamic today, and this agreement is an effective way to make these Nokia innovations available to the industry and to unlock the considerable value of this IP portfolio.”

Apparently Mosaid will be splitting the licensing revenues from the deal with Nokia and Microsoft, keeping a 1/3 to itself.

Microsoft itself will continue to have access to a number of Nokia’s patents, including those covering phone cameras, lenses, hinges and various industrial-design components, Microsoft officials said.

The news of the patent offensive comes on the heel of news that Google basically bought a pig in a poke with its $12.5 billion purchase of Motorola.

"It’s an immense mistake," Martin says in an interview on Bloomberg, referring to Google’s blockbuster $12.5 billion patent acquisition of Motorola Mobility. "What they’ve bought is crap. Motorola [had already] sold off its good assets. Back in the early years, Motorola sold off some MPEG patents to GE … After that, they took a bunch of the Freescale patents and sold those off. [Motorola's current patent estate, which Google is trying to buy,] actually has a huge dependency on Freescale, and Freescale actually has an Apple link."

That video, which is a must-see, can be seen after the break.

Continue reading →

6

Nokia goes on patent offensive, transfers patents to troll company

September 1, 2011 | By Surur

After a half a billion pay-off by Apple Nokia has decided it could earn a significant chunk of money from actively litigating with its patents, and have decided to avoid retaliation and countersuits by off-loading the patents and the suing to Canadian holding company Mosaid.

Mosaid has previously issued patent infringement lawsuits against Dell, HTC, Sony Ericsson, Research In Motion, Huawei Technologies, Wistron, ASUSteK, Asus Computer, Lexmark, Canon, Canon and Intel – to name a few.

Nokia has transferred 2000 patents to the company cost-free, and expects to earn 66% of the settlements the company achieves.

The move comes at a time when Nokia’s market share and income is flagging, and presumably is the result of increasing pressure from share holders to produce more revenue from the company’s assets.

Expect the number of cases filed agaisnt the likes of HTC, Motorola and Samsung to increase dramatically.