royalty

Stemming from a lawsuit in 2010 where Oracle claimed Google was infringing on its Java-related patents with Android, a court document today reveals Oracle rejected Google’s offer to pay a percentage of Android revenue if the alleged patent infringement is proven in court. Reuters reported:

Google proposed to pay Oracle a percentage of Android revenue if Oracle could prove patent infringement of the mobile operating technology at an upcoming trial, but Oracle rebuffed the offer as too low, according to a court filing late on Tuesday.

As for Google’s offer, Reuters said the company would give approximately $2.8 million in damages to cover 2011, and a future 0.5-percent royalty of Android revenue for one patent that will expire in December. A second patent included in the case would provide Oracle with an additional 0.015-percent until it expires in April 2018. According to the court document, Oracle is holding out for a possible injunction:

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It’s no secret that Microsoft makes more money off Android then their own quickly failing phone business, thanks to licensing agreements with HTC which see a royalty paid to the company for every Android HTC device sold. A new licensing agreement with ViewSonic will see Microsoft again collecting royalties off ViewSonic’s smartphone and tablet devices running Android or Chrome.

Microsoft’s corporate vice president and deputy general counsel of Intellectual Property and Licensing Horacio Gutierrez had the following to say about the agreement:

“We are pleased that ViewSonic is taking advantage of our industrywide licensing program established to help companies address Android’s IP issues,” he continued, “this agreement is an example of how industry leaders can reach commercially reasonable arrangements that address intellectual property.”

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