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Motorola Wants 2.25% of Microsoft's Surface Revenue

An anonymous reader writes "On the opening day of a patent trial between Microsoft and Google-owned Motorola Mobility, Motorola filed a brief (PDF) arguing that the WiFi tech central to the case is also critical to Microsoft's new Surface tablet. Motorola says royalties totaling 2.25% of all Surface revenues is a good starting point. They wrote, 'Microsoft's new Surface tablet will use only 802.11, instead of cellular or wired connections, to connect to the internet. Without 802.11 capability, the Surface tablet would be unable to compete in the market, because consumers can readily select tablet devices other than the Surface that have 802.11 capability.' Microsoft, of course, says this figure is outrageous, given 'Motorola's promise to standards bodies to offer access to the "standard essential" patents on fair and reasonable terms.'"

10 of 278 comments (clear)

  1. Re:2.25% of nothing by symbolset · · Score: 5, Insightful

    Microsoft is purposefully only selling the Surface in their own sales channels - own stores and online - explicitly so others can't report data about how it's doing. They want to tell us it's "sold out". They knew they had to do this in advance, or you would buy the thing at Target and Target would tell you that it's not selling.

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    Help stamp out iliturcy.
  2. Re:Google Proxy War by symbolset · · Score: 5, Insightful

    It was Apple and Microsoft that started this war. Google is only winning the war that was brought to them. As they always have. It was Microsoft CEO Steve Ballmer who said "I'm going to fucking kill Google. I've done it before and I can do it again." Back then Google was 1/30th their current size. Today it's more of a fair fight, as the two companies are about equal in market cap, but back then it was more of an existential real threat.

    Even today Google only sues back other companies that picked a fight.

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    Help stamp out iliturcy.
  3. $15 per Android device by Anonymous Coward · · Score: 5, Insightful

    Well, Microsoft were claimed to be receiving $15 per Android device. Ar $600 for a device, 2.5% would be $15.

    So what's the problem? Microsoft made claims that Android infringes just 6 dodgy patents. 802.11 is a core patent.

    http://www.groklaw.net/pdf2/MSvB&Nanswer.pdf

    Patents such as : "Loading Status in a Hypermedia Browser Having a Limited Available Display Area."
    Or "“Selection Handles in Editing Electronic Documents.”,

    I don't see the problem with this, they dish it out but they don't take it? Their sales of Surface devices will be far less than Android devices, so they'll pay a lot less.

  4. Re:Google Proxy War by Nerdfest · · Score: 5, Insightful

    They also deserve anything they get with the ongoing extortion of Android/Linux 'patents' that they insist on NDAs to even discus. How that's considered remotely legal is beyond me, and I'm very disappointed with anyone paying them for that kind of extortion.

  5. Re:Google Proxy War by Formorian · · Score: 5, Insightful

    Um MS started this. Read up at Groklaw. Basically Moto sent a proposal around 2010 I think, I forget exactly. They wanted 2.25% (as a starting point for negotiations, esp since MS doesn't have any FRAND patents, normally companies license at a much lower rate but that lower rate is due to cross licensing of standard patents or other patents essential to the device from both sides).

    MS didn't enter negotiations, they went to ITC and complained, and then alleged that Moto is not metting it's FRAND obligations. Then Moto sued in Germany. Germany ruled in their favor initially and imposed a ban. MS went to a seattle judge, who basically says he can overrule the Germany court, lifted the Ban, and says He'll set a fair and resonable price. I believe he ruled this way because his case started before the Germany case. I still think he's on Crack that he can overrule a foreign country judge, but w/e.

    Now I wish this judge wasn't as biased and would be like the judge in Wisconsin. Apple did the same thing against Moto against these Frand patents. The judge in Wisconsin saw that Apple was just using the lawsuit for leverage or if didn't agree with the price the judge set, use that price as a negotiating price after the lawsuit. She dismissed with prejudice. MS is doing the same thing. Yet Seattle judge, back yard to MS, blah blah blah.

    But Moto didn't start this war. They wanted to negotiate first, MS didn't want to pay/negotiated.

  6. No need to get the lawyers involved.... by sdo1 · · Score: 5, Funny

    Motorola Wants 2.25% of Microsoft's Surface Revenue

    So give them a couple hundred bucks and be done with it...

    -S

    --
    --- What parts of "shall make no law", "shall not be infringed", and "shall not be violated" don't you understand?
    1. Re:No need to get the lawyers involved.... by samjam · · Score: 5, Interesting

      You just struck gold.

      MS don't want google to know how many surface tablets they are(n't) shipping, and that may be the reason to avoid the per-device payment.

      hah hah

  7. Re:Google Proxy War by jkrise · · Score: 5, Insightful

    Why can't they leave MS alone or at least sue them themselves?

    Actually, since Google have acquired Motorola Mobility fully; it is Google vs Microsoft.

    MS is the one not leaving Android alone. They are threatening Android OEMs into patent licenses for their ridiculously stupid patent portfolio. Many top OEMs like HTC recently, Barnes and Noble etc. have succumbed and are paying more money to Microsoft than to Google for using Android.

    So Google decided to acquire Motorola Mobility and take Microsoft head-on to prevent further damage to the Android ecosystem.

    --
    If you keep throwing chairs, one day you'll break windows....
  8. Re:Google Proxy War by Anonymous Coward · · Score: 5, Insightful

    a) Motorola is already Google's, so calling it "proxy" is a bit strange, but leaving this aside
    b) MS went around shaking down Android vendors over patent issues like FAT long names
    c) Said shakedown did raise quite a few questions like "What's Google doing to protect their partners?"

    Under which rock did you sleep?

  9. Re:Google Proxy War by JDG1980 · · Score: 5, Insightful

    That's a stupid justification. If you're going to claim something is wrong if the side you dislike does it, then it is equally wrong if the side you like does it. Otherwise you're nothing but a hypocritical fanboi.

    If someone walks up to you and punches you, that's assault. If you hit him back while he's attacking you, that's self-defense.

    Apple and Microsoft have been using their patent portfolios aggressively. Google has been using its in self-defense and defense of its allies (Samsung). That's a substantial difference.