Facebook Purchases 650 AOL Patents From Microsoft

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Facebook Purchases 650 AOL Patents From Microsoft

Posted by Soulskill on Monday April 23, 2012 @06:32AM from the patent-rent-to-own dept.

eldavojohn writes "Not two weeks after Microsoft purchased 925 patents and patent applications plus licenses to AOL's portfolio for $1 billion, Facebook has now acquired 650 of said patents and patent applications for $550 million to which Microsoft retains a license. So, was Microsoft's $450 million worth it? According to their press release: 'Upon closing of this transaction with Facebook, Microsoft will retain ownership of approximately 275 AOL patents and applications; a license to the approximately 650 AOL patents and applications that will now be owned by Facebook; and a license to approximately 300 patents that AOL did not sell in its auction.' Will the patent-go-round continue, or has Facebook loaded up for a good old-fashion Mexican standoff?"

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W00t by masternerdguy · 2012-04-23 06:33 · Score: 3, Insightful

Now facebook can monitor you even more effectively.

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1. Re:W00t by Yvan256 · 2012-04-23 07:53 · Score: 2
  
  Nobody expect the Roman inquisition!
Further Alignment by alphatel · 2012-04-23 06:42 · Score: 4, Interesting

Google has already staked their company on G+. Does Microsoft gain an edge by helping Facebook even if there is no direct payoff?
The enemy of my enemy is my friend.
See where this is going?

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When the foot seeks the place of the head, the line is crossed. Know your place. Keep your place. Be a shoe.
1. Re:Further Alignment by alphatel · 2012-04-23 07:02 · Score: 5, Interesting
  
  Is this your first visit to /. ?
  Page re-aligns Google
  "When he took over as CEO, Page quickly made his top priority clear by moving Google's executive offices into the same building as the team working on Google Plus. Page also tied a portion of employee bonuses to the success of Google Plus and eliminated what he considered to be unnecessary distractions by closing more than 20 of the company's less popular services.
  "Larry is driven by his paranoia about Facebook. Clearly, these are two companies at war with each other," said Ken Auletta, who got to know Page while writing his book about the company.
  
  --
  When the foot seeks the place of the head, the line is crossed. Know your place. Keep your place. Be a shoe.
2. Re:Further Alignment by blind+biker · 2012-04-23 07:08 · Score: 2
  
  Yes, in principle I agree with you, but there is a caveat: I suspect that Facebook cannot further crush G+, since they, in essence, aren't competing against each other anymore. What I mean is, those that prefer the G+ style of doing social networking, won't leave G+, and those who prefer Facebook haven't joined and never will (or maybe joined for a brief moment, looked around and left). G+ won't grow much, I think (I'm a G+ user, BTW), but it doesn't really have to. Don't get me wrong, I am sure Google would love to see G+ grow much larger, but they aren't exactly sad even with a smaller social network - the users are loyal enough, and some profit can be created.
  I think G+ is the Linux of social networks: sure, there aren't many users of it, but those that are there don't care about the number of users. And some company (Red Had) can still make a profit off Linux.
  
  --
  "The agriculture ministry is not in charge of Gundam" - Japanese ministry official.
3. Re:Further Alignment by Anonymous Coward · 2012-04-23 07:09 · Score: 2, Insightful
  
  Making a product a priority and betting the companies future on a product are not the same thing. I very much doubt they will get significant revenue from G+ anytime soon.
4. Re:Further Alignment by gnick · 2012-04-23 09:03 · Score: 2
  
  ARGH! Fighting... grammar... nazi... tendencies...
  I think you meant to say, "I am fight grammar Nazi tendencies." But that's fine. For all intensive porpoises, their the same. Too different ways of getting your point acrossed. I could care less. =)
  
  --
  He's getting rather old, but he's a good mouse.
5. Re:Further Alignment by interkin3tic · 2012-04-23 11:11 · Score: 2
  
  "Re-aligning" and "staking your company on" are two different things.
  
  McDonalds aligns it's advertising to the McRib sandwich every time it comes out. They do not stake themselves on the McRib though. They spend a lot on advertising that one sandwich each time, but if they don't sell any, McDonalds is not going to declare bankruptcy.
  
  Google is putting a lot of effort into getting you to use google plus, and maybe all the top people over at google are trying to beat facebook at the social media game, they are aligning to that. The front page has google plus tie ins. This does not mean they're putting all their eggs in google plus's basket. If google plus never goes anywhere, we'll still be using google maps, gmail, and google search, and they'll still be getting a lot of money for adsense based on just our searches, e-mail, and map searches.
  
  Staking the company on google plus would probably look like "In order to use google search, gmail, or google maps, you MUST BE SIGNED INTO GOOGLE PLUS." Which would be a stupid move and I'd be surprised if anyone working at google would be dumb enough to suggest it.
Greater Fool Theory by McGruber · 2012-04-23 06:47 · Score: 2

All this means is that Zuckerberg is a greater fool than Balmer. (http://en.wikipedia.org/wiki/Greater_fool_theory)
That is to be expected, since youth and talent are no match for age and treachery.
1. Re:Greater Fool Theory by interval1066 · 2012-04-23 06:52 · Score: 2
  
  All this means is that Zuckerberg is a greater fool than Balmer.
  I don't buy that for a second. Some college kid creates 2 billion dollars in his dorm room (never mind whatever swindling and conniving he did along the way for a secod), and buying some AOL patents suddenly makes him a fool? I don't think so. Something else is afoot.
  
  --
  Python: 'And then suddenly you have a language which says "we're all stuck with whatever the whiniest coder wants".'
Gearing up for IPO.. by who_stole_my_kidneys · 2012-04-23 06:49 · Score: 2

Once FB goes public they will be lawfully required to turn a profit by any "lawful" means necessary, suing everyone over patent infringement is just another revenue stream, and makes them more "desirable". The problem with them holding all the cards is we don't know what those cards and if they are even worth anything.
1. Re:Gearing up for IPO.. by Pope · 2012-04-23 08:14 · Score: 3, Interesting
  
  Once FB goes public they will be lawfully required to turn a profit by any "lawful" means necessary
  There is no such law.
  
  --
  It doesn't mean much now, it's built for the future.
2. Re:Gearing up for IPO.. by b4dc0d3r · 2012-04-23 10:30 · Score: 2
  
  Read "lawfully required" as "forced by shareholders and external parties through lawful (legal) means".
  Maybe there is no statute that says they are required to turn a profit, but there are piles of statutes, case law, regulations, SEC requirements, and "guidelines" which can be used as the basis for a lawsuit and other punishment.
  If you sell public stock, you have to try to be successful or you may suffer all kinds of wrath. Shareholder lawsuits against the board of directors are probably the most common, and they can force a decision on the board, and therefore the company.
  Departing CEO severance package too big? Sue the board for over-spending. Takeover opportunity missed? Sue the board for malfeasance.
  Read a bit at lexis-nexis, and read a bit more if you really want to know what you're talking about
Tech Version Of The Cold War by blcamp · 2012-04-23 06:51 · Score: 3, Insightful

This is not terribly different from different countries on the map lining up with either the US or the Soviets... or going non-aligned.
It's a good old fashioned "military alliance"... just with patents and lawyers instead of nuclear warheads.

--
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1. Re:Tech Version Of The Cold War by H3lldr0p · 2012-04-23 07:28 · Score: 2
  
  This isn't the first time this has happened.
  It also happened way back when with the start of the airline industry. Back in 1903, the Wright Brothers started one over the way one controlled a plane. Long story short, WWI started and seeing as how planes were a cool new war toy, the US government stepped in and made them make peace or else no one would get the patent money.
  I have to wonder what's it going to take to get that to happen this time around.
2. Re:Tech Version Of The Cold War by marcosdumay · 2012-04-23 09:48 · Score: 2
  
  IBM is laughing all their way to the bank, while everybody pays them for the benefit of standing on their side. (In fact, that is not a new strategy for them)
  Don't bet on they destroying anybody.
  
  --
  Rethinking email
Re:I bet $100... by OakDragon · 2012-04-23 07:00 · Score: 5, Funny

Sorry, you are in violation of my patent "placing a wager on an Internet forum". My lawyers will be in touch.

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Dark Reflection
Brilliant (or not so much) by Shamanin · 2012-04-23 07:09 · Score: 3, Insightful

Facebook, it's the new AOL!

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come on fhqwhgads
1. Re:Brilliant (or not so much) by HornWumpus · 2012-04-23 07:40 · Score: 2
  
  Because definitions of signal and noise vary by user.
  Facebook's growth has improved the S/N ratio for the rest of the net while not hurting facebook's. It is the new AOL.
  
  --
  John McAfee 'It was like that time I hired that Bangkok prostitute; to do my taxes, while I fucked my accountant'
Re:I bet $100... by tripleevenfall · 2012-04-23 07:20 · Score: 3, Insightful

I'm sure AOL (for all its failings) never did a single thing in its entire existence that was patent-able while it ran (held captive?), for a time, nearly the entire online world.
Re:I bet $100... by Ihmhi · 2012-04-23 07:48 · Score: 3, Funny

Sorry, you are in violation of my patent "requesting a lawyer or lawyers to communicate to a third party that the third party is in violation of a patent or parents and humorously notifying the third party of this fact." My lawyers will be in touch.

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New product range by TheBogBrushZone · 2012-04-23 08:20 · Score: 2

Now Facebook will be able to mass produce drinks coasters with impunity.

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