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Microsoft wins $14 million in patent trial against Motorola

Courtroom

This isn’t Android Central, so any time we write about Motorola they seem to be duking it out with Microsoft. It looks like we’ll be hearing less of them going forward. Mostly because Microsoft just won the second of two trials against Motorola. Details after the break.

So what did the jury in a federal court in Seattle decide? They decided that Motorola broke agreements to license certain patents at fair and reasonable rates with standard-setting bodies. For doing that, the jury awarded Microsoft $14 million dollars in damages. However, this is only half of what Microsoft wanted from Motorola. That 14 million number represents $11 million Microsoft spent building a factory in Germany to get around an import ban on Xbox 360’s and $3 million in legal fees (should have been a lawyer).

Motorola is expected to appeal this decision. Even though Google bought Motorola after these court battles with Microsoft started, many see this as a proxy fight between Google and Microsoft. Many people also suspect that Google bought Motorola for valuable patents. Not exactly working out how they hoped.

Source: Reuters

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Reader comments

Microsoft wins $14 million in patent trial against Motorola

76 Comments

Practically but now they have an overhead since they have to employ people to run it. They should have gotten some money for that as well lol...

They can include the plant in the Business Continuity Plan... in case of a flood, earthquake, etc.

Yeah... Give us $1M. Now come back to the table and give us REASONABLE terms under which to build a YouTube client.

It's even funnier when you compare the 14 million they just won, to the 1.8 million a year that Google/Moto were awarded after seeking more than 4 billion a year.  So basically, Google paid 12 billion for Moto's patent portfolio to attack MS, and all they have to show for it is MS getting almost an entire decade of free licensing from them.  This doesn't take into account the eventual license that Google will have to take from MS in order to keep selling Moto phones.  And to think, there are some android fans laughing at MS for buying Nokia for 7 billion.

Just wait the next YouTube app update will work for an hour, then it requires you to put your credit card and pay full for a new Nexus 7.

Good news after good news is good!!! Now hurry up and release the 1520 so that all this damn money that's bothering me will go away!!!

I feel so neglected with all these models being so huge. Why are there no new premium phones with sizes like the 720?
I havent had any real cravings for a phone since the Lumia 800 was announced. My 920 is a bit too big. :(

I'm sure there will. Nokia had to stay relevant by coming out with a phablet like everyone else but Nokia I'm sure has others they will announce.

Even if this is the current 'real' estimate, it is about as informative in the long term scope of Apple and Microsoft as a sneeze.
 
In the 1980s Apple was a billion dollar company that had the home PC market and schools saturated.  As Apple moved on to the Mac they hit another spike.   This is what Apple does well, they hit a spike with a product, then level off for a few years and plung off off a cliff.
 
The current Apple iPhone/iPad/iTunes business modle is just a fragile for long term revenue.  Apple would have to invent a new type of iPod/iPhone type device every 3-4 years to sustain what they currently have.
 
Look at the iPod, it is already a dead technology and is plunging over the cliff.
 
(After each of Apple's failings to maintain long term revenue, it was Microsoft that picked up the pieces, quite literally twice, giving Apple money to stay in business.)
 
 

Interestingly, Apple makes more reveneu with iPhone alone than whole of Microsoft, but Nokia (now part of MS) makes more mobile phones than Apple. We are living interesting times, yet again.
Now Microsoft, get your thumb out and go after Samsung with Nokia!

Why go after Samsung, they already pay license fees for Android and make Windows Phones. It would be a stupid move IMHO as Samsung haven't done anything wrong.

Because Samsung is the leader in market share.  If MS doesn't get off their butts and make WP more competitive with Android (and iOS), they might as well just throw in the towel.

Then attack android, no use attacking the company that also supports your platform [aka why attack an OEM? get to the roots of the problem]

Correct. This is the 2nd of two cases. MSFT also won the first case where Motorola (Google) wanted to charge MSFT $4B for some video and wifi patents used in Xbox. The court brought that amount way, way down and much, much closer to the amount MSFT wanted to pay.

Microsoft has really started getting more and more aggressive at the competition. I remember when it almost killed apple

@Quin spent 7.2B on Nokia,won 0.014B from Motorola, I think I got the correct math :(
@blackhawk true, this will pay itself in a few months on google's account

Nope Nope Nope Nope Nope Nope Nope Nope Nope Nope Nope Nope Nope Nope Nope Nope Nope Nope Nope Nope Nope Nope Nope Nope Nope

A key piece in this version of the story is missing:
"More particularly, Microsoft has been locked in a battle with Google to ensure that handset makers using Google's free Android phone operating system pay Microsoft a license fee. Most large handset makers, such as Samsung, LG and HTC, have agreed to pay Microsoft a royalty on Android handsets that Microsoft believes may infringe on its patents. Motorola, which was bought by Google last year for $12.5 billion, partly because of its trove of patents, is the last big holdout."
In essence, the Google-Android maker's payment of license fees helps fund Microsoft's Windows Phone development.  Anyone saying MS is toast in the phone game, especially after the Nokia Mobile division purchase, needs a serious reality check.

Patents do ultimately expire. US patents applied for before 8 June 1995 expire after 20 years from filing, while after that date they run for 17 years after being issued, or 20 years from the first application that ultimately led to this patent being issued.
 
Some of the patents Microsoft are enforcing against Android came out of the Windows 95 Common Controls user interface components. For example, one of the patents listed in the Barnes & Noble Nook case - US 5889522 "System provided child window controls" - was for the tab control, as used in Windows Explorer's Properties pages. But the priority date for that is 13 December 1994 and so will expire on 13 December 2014.
 
One reason for Microsoft's purchase is to get hold of newer patents from Nokia that they can use against Android manufacturers. Sure, they want to win in the marketplace with their own product, but if they can't manage that, they may as well profit from others' success too.

So release a non functioning Youtube app, that's clever. You do realise the issue is at Googles end, don't you?

Love the Perry Mason graphic Sam. All that's missing is him turning around and giving you that classic Perry Mason stare. lol.

Google bought Motorola for the patents...didn't worked that well...perhaps they can try moving on Nokia? At this stage, all they need to do is a public offer of acquisition. That would either get them Nokia or force Microsoft to raise the ridiculously low price they are offering for it.

Poor Motorola, standing between google and microsoft. I wonder why did Google not doing anything? I mean after all it's their company. If I were Motorola guy, I'll say "I am with you google, here's the patent, go at them".  But instead Google just chicken out hiding in the corner letting Motorola fight.  Shame on Google

I'd like to make a comment that's not so much related to the article....Nice choice for a headline photo @Sam Sabri! Haha