“Research In Motion Ltd. is considering a bid for Nortel Networks Corp.’s portfolio of wireless technology patents that would top Google Inc.’s $900 million offer, two people familiar with the plans said. RIM, maker of the BlackBerry smartphone, is weighing an offer that would keep Google from gaining control of about 6,000 Nortel patents and patent applications, said the people, who couldn’t be identified because the plans aren’t public. A group of technology companies, including mobile-phone makers, may also bid on the patents to stop Google, two people said. RIM, based in Waterloo, Ontario, is considering joining the group, one person said. Nortel’s patents would allow buyers to control and license technology used in BlackBerrys, Apple Inc.’s iPhone, and devices that run on Google’s Android operating system.”
This may sound idiotic but can’t Apple just outbid Google and RIM?, They have the cash, and that would look like: Hey! I am the bulliest bully in the town.
That is a possibility but definitely not good for douchebag companies like Apple to have said patent portfolio.
Shareholders likely wouldn’t tolerate a billion plus being spent on patents Apple doesn’t need. Apple is not in the business of licensing their IP, and they already have a homegrown defensive patent portfolio. At the end of the day it would be far cheaper just to license essential tech from the other patent holders like Nokia or Motorola. Apple’s biggest exposure is the risk from patent trolls, and these wouldn’t protect against that.
Google, on the other hand, doesn’t really have a significant patent pool to use defensively or otherwise. These patents would at least give them a bit of leverage with the other mobile heavyweights that could be used to defend their Android partners or for cross-licensing. RIM is in a similar position.
If there ever was a single sentence that describes what’s wrong with the patent system this is probably it.
Nortel ( may all their executives burn in hell ) has been in liquidation for almost 2 years and just sold their MultiService Switch business to Ericsson for a measly $65 million. I’m pretty sure that Google could have acquired the entire company for a lot less than 900 million
RIM actually tried to acquire them during the first round of liquidation for a billion or so, specifically for the patents. Courts rejected the offer.
I personally would prefer Google to obtain the Nortel patents because as stated before they need it to build a pool of defensive patents.
I’m not a fanboi of any particular company or device, and have used all types of mobile phones, but I do feel Android gets a rough ride from the other players in the market.
On saying that however, if RIM went after the patents on their own I wouldn’t be against that – I don’t think they should get involved with the group of companies bidding to get the patents.
And I also agree that the whole patent system should be seriously reformed to bring it up to date or abolish the damn thing altogether.