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Apple Demands $40 Per Samsung Phone For 5 Software Patents
An anonymous reader writes "Apple and Samsung couldn't agree on a patent cross-license even though their CEOs met recently. What could be the reason (or one of the reasons) is that Apple is asking for obscenely high patent royalties. At the March 31 trial an Apple-hired expert will present to a California jury (already the third jury trial in this dispute) a damages claim of $40 per device (phone or tablet) for just a handful of software patents. The patents are related to, but don't cover all aspects and elements of, functionalities like slide-to-unlock, autocorrect, data synchronization, unified search and the famous tap-on-phone-number-to-dial feature. Google says there are 250,000 patentable inventions in a smartphone. On average, Apple wants $8 per patent per device. That would add a patent licensing bill of $2 million to each gadget. So Apple and Samsung will be back to court again later this month."
And how many of the so called apple patents were in use on those old devices before 2000? Like, say, tapping a number to dial!
No, you are completely wrong.
FRAND patents are not of little value, and are not normally licensed for little value.
They are normally part of cross-licensing agreements between companies, with small associated payments to make the contracts binding, but primarily they are used as a technology trading base.
Apple of course refuses to participate in the trading.
They say 'license your FRAND patents to us for the same as everyone else, and then we will screw you to the wall for our patents'.
FRAND owners say "WTF? those fees are for crosslicensing agreements, without that, you need to pay real money'
Apple says "Then we wont pay you anything, and since we appear to have the US legal system all tied up, piss off, in fact, we will sue you over a bunch
of patents we never invented, just added the words 'on a capacitive touch screen' to the end of! ha!"
And if you think thats good business, well.... time will tell. I wonder how well Apple will do when the next round of critical infrastructure wireless patents are no longer FRAND, and Apple hold no cards.
Kill the meaning of FRAND patents is a standardisation disaster, and a short term cash grab by Apple to the detriment of everyone else, including their own users.
The so called apple interface was not much different to the palm interface
did you even use a so called smartphone phone before the iphone?
I did. I developed for Palm, WinCE, Psion/Symbian and Nokia N770/800 (including for SIP/Skype calls) etc before the iPhone as well.
The single biggest differentiator between iPhone and its predecessors was the capacitative screen. Everybody in the business knew it was coming, and would change interfaces. Even Microsoft was experimenting with the multitouch Surface, but Apple were fastest to get in with a phone that had multitouch and dispensed with the stylus (needed for resistive screens).
They did well, and with Fingerworks, managed to patent some of the early multitouch ideas, but they were not especially novel concepts, even at that time.
"I've got more toys than Teruhisa Kitahara."
The problem with Apple is not just that its patents are bad - they're actually rather typical and exemplify the flaws of the system. The problem is that they're not playing by the established rules of the game, where you either cross-license with other major players, or ask for a reasonable amount (which is about an order of magnitude less than here) for full patent coverage.
Apple, meanwhile, has been refusing to license some things outright, and demanding outrageous fees for others, that would basically make their competitors' devices priced beyond competitive range. Basically, patents were like nuclear MAD - every big guy has a lot, but no-one is going to launch an all out attack - and then a new guy on the block said, "hey, this looks like fun", and pressed the red button.
Hopefully, this will be sufficient incentive for the companies involve to try to curtail future damage by lobbying for a patent reform.
So Apple want $40 a phone for a few cosmetic and convenient things they were the first to bring to market, like tapping a number or bounceback when you over scroll - but they baulk at paying $2 a phone for stuff that *makes the phone actually work* like 3G/4G, WIFI, etc. etc. How the hell is that ok? And if you want to say those 3G patents Samsung hold are FRAND and essential for phones, fine - but Apple still wasn't even paying the FRAND amount. So why can't Apple's innovations be considered essential and ubiquitous to normal mobile phones, now and also be forced to be reasonable??