Google and Microsoft make Patent Peace
Patent wars that plagued the early years of the smartphone industry moved a big step closer to resolution on October 30, 2015, as Google and Microsoft reached a settlement to end some 20 patent lawsuits.
In a joint statement, the two companies declared: “Microsoft and Google are pleased to announce an agreement on patent issues. As part of the agreement, the companies will dismiss all pending patent infringement litigation between them, including cases related to Motorola Mobility. Separately, Google and Microsoft have agreed to collaborate on certain patent matters and anticipate working together in other areas in the future to benefit our customers.”
The two companies didn’t disclose financial terms or exactly how the cases had been resolved.
The settlement appears to mark a chapter of détente between the two companies, which have fought bitterly for years over smartphone patents.
The legal wars started in 2010 when Microsoft sued Motorola — acquired by Google a year later — alleging that several of the cell phone maker’s Android devices infringed Microsoft’s patents. Motorola retaliated with a countersuit, claiming infringement of 16 of its wireless and Web video patents used in Microsoft’s PC and server software, Windows Mobile and Xbox products.
Microsoft, along with other prominent companies, including Apple, licenses patents from Google for their various products. Some of those patents have been deemed standard-essential patents, which mean the company owning them is legally obligated to offer them on a fair, reasonable, and non-discriminatory basis. Microsoft also sued Motorola, claiming that Motorola was charging excessive royalties for use of those patents.
Google found its way into the fight in 2011 after announcing it was acquiring Motorola Mobility. Google put its full weight behind the case, arguing that the royalty rates applied to the patents were fair. Under Google’s ownership, Motorola tried to overturn the Microsoft patent ruling, but that effort failed.
Though Google sold off Motorola Mobility to Lenovo for $2.9 billion last year, it remained a part of the case because it kept Motorola’s patents, including those involved in the Microsoft case.
