The reason Apple has avoided that in the past is they know Google punches above its weight. It has a lot more money and and now a lot more patents to defend itself.
Actually the reason that Apple has mostly gone after the OEMs is because some of the patents explicitly cover devices and not software, because in claiming damages from Google they would be limited given Google's limited economic interest in Android and because even if they succeeded the OEMs could still continue to ship Android devices, so it wouldn't benefit their market position.
Quote:
This is decidedly not fantastic news for Apple. Google can now directly challenge Apple to either nullify the patents Apple is suing everyone over, or instigate a cold war where Apple will not want to trigger the wrath of the company holding 25,000 patents dating back 30 years from the company who invented the cell phone.
First off any patent that is 30 years old is dead and gone, patents only last around twenty years. Second Google could always request a USTPO re-examination of Apple's patents, you don't have to be on the receiving end of a suit to do so. Third, apple was already happily triggering the wrath of a firm with 17000 patents and a further 7k pending.
Paying a 63% premium on a company for patents that are likely to be no help (at least in any offensive way), and at the risk of losing all your partners, is a move that just reeks of desperation. Whether it works or not, this is definitely not a well thought out play by a reasonable company in control of it's direction IMO.
I think the assumption that none of these patents is useful in offence is premature. Whether or not Google has overpaid is unclear, but we know that Moto has patents which are not encumbered and it really only takes one patent that survives invalidation attempts, provides key functionality and cannot be innovated around in order to force Apple and MS to the table.
News on the Apple/Moto suits has been slow for a while, but I imagine we'll start to see more close coverage on them now that they've suddenly become so significant.
The other big takeaway for me (and I think for a lot of the general public), is simply that this is the last nail in the coffin of respectability for Google. There is simply no way that they can ever play that game of maintaining that they are different, or more moral, or not as evil as all the other companies. This is a total *sshole move that makes Apple look like Angels sprinkling fairy dust in comparison. It makes Google look nastier than Microsoft IMO and I think the general public will see it that way too.
What about the Moto purchase is "evil" or "nastier than Microsoft" or makes Apple "look like angels"? Seems to be a pretty straightforward attempt at protecting Android and it's licensee's from patent infringement allegations that other companies often deal with in licensing swaps. This just puts Google on a more level playing field when dealing with Apple/MS doesn't it, rather than kicking Sammy or HTC to the curb?
Some interesting reactions from other players (from TIMN)
Samsung : We welcome today?s news, which demonstrates Google?s deep commitment to defending Android, its partners, and the ecosystem.?
HTC: ?We welcome the news of today?s acquisition, which demonstrates that Google is deeply committed to defending Android, its partners, and the entire ecosystem.?
S-E: ?I welcome Google?s commitment to defending Android and its partners.?
LG: ?We welcome Google?s commitment to defending Android and its partners.?
Is it just me or did somebody supply them with an Open Sourced response
Some interesting reactions from other players (from TIMN)
Samsung : We welcome today?s news, which demonstrates Google?s deep commitment to defending Android, its partners, and the ecosystem.?
HTC: ?We welcome the news of today?s acquisition, which demonstrates that Google is deeply committed to defending Android, its partners, and the entire ecosystem.?
S-E: ?I welcome Google?s commitment to defending Android and its partners.?
LG: ?We welcome Google?s commitment to defending Android and its partners.?
Is it just me or did somebody supply them with an Open Sourced response
I'd be shocked if Google didn't have some last minute discussions that offered reassurances to the licensees before the official announcement was made.
I predict this move will squeeze out other Android licensees. There is a reason Microsoft did not build computers. I doubt this will have much effect on Apple.
No, but Microsoft's mobile division is celebrating like crazy today.
Quote:
Originally Posted by gchriste
You would have to think this will seriously piss off HTC, Samsung etc. Especially given the issues around Google preventing some licences putting other third party apps on the handset. On the one hand saying you must play by our rules, and now directly competing, sure to annoy them no end.
HTC, Samsung, etc will have to continue selling Android handsets, but it's easy to predict that they'll put less emphasis on them in the future - particularly if Google does what it does best and screws everyone else with its license terms.
Quote:
Originally Posted by ksec
Google in their Press State it wont be a merge. Moto Mobility will runs as a separate unit. So business as usual. There will still be Moto Phones. It is only the owner changed hands..
Do you think that HTC and Samsung are too stupid to realize that Google controls it - even if it's a separate division?
The only way out for Google is to sell the hardware division while retaining the patent portfolio. If they include a license to use the patents, they could probably get a reasonable amount for the hardware business while retaining the patents.
Quote:
Originally Posted by IQatEdo
This still requires regulatory approval, wonder whether licensees will be heard and what they might say?
It certainly moves to lessen competition - when the OS developer now owns one of the major brands. It could be interesting. I wouldn't be surprised to see the hardware division sold off - both for regulatory reasons and for good business reasons (see above).
Quote:
Originally Posted by gchriste
Still, it is a lot of cash for a patent play, 3 times what the Apple consortium paid. They would want to be making some good returns for the shareholders after splashing that amount of cash.
Yeah, funny how it was anticompetitive and stifles innovation when Apple's consortium spends $4 B on patents, but it's OK when Google spends 3 times as much, largely for access to the patents. I guess that means that Google stifles innovation 3 times as much.....
Furthermore, the majority of Motorola patents are already being licensed under FRAND terms. It's going to be very hard for Google to leverage that.
Quote:
Originally Posted by Tulkas
Depends. If they provide these patents to all of their partners for use in their Android products, none of them are going to complain too much. If they hold them tight, then yeah, their partners are going to revolt.
It's Google we're talking about. Every action they've taken in the past decade has been based on pure greed and self-centeredness. They apparently don't have any concept that partners are important.
Quote:
Originally Posted by stelligent
But seriously, I think the answers lies in Larry Page's own words: "Our acquisition of Motorola will increase competition by strengthening Google's patent portfolio, which will enable us to better protect Android from anti-competitive threats from Microsoft, Apple and other companies."
So it's anti-competitive if Apple and Microsoft buy patents, but it increases competition if Google does so...
... Seems to be a pretty straightforward attempt at protecting Android and it's licensee's from patent infringement allegations that other companies often deal with in licensing swaps. ...
It's only that if you believe the PR being spread this morning.
Take a look at what Android's licensees are saying this morning:
We don't really know exactly what's going to happen here, but if history is a guide it won't be good for the other licensees. It's not likely to be good for Motorola either.
I'd be shocked if Google didn't have some last minute discussions that offered reassurances to the licensees before the official announcement was made.
Oh sure, but c'mon - do you not find the responses just a bit soviet in their lock-step-ness?
At the very least Googorola should have supplied a greater variety of talking points for their OEMs
It makes Google look nastier than Microsoft IMO and I think the general public will see it that way too.
I don't think the general public knows or cares about what Google corporate does as long as they can continue to Google information. This kind of stuff only matters to techies and investors.
Your making a really confused argument here, its seems to me like you are blending together what's "good for Google," and "good for Android," in each statement. They are two separate things.
This move may or may not be good for Google, but at best it's a lateral move for Android and possibly a great big negative.
I wonder if Motorola Mobility has any patents that will protect Google against Oracle's lawsuit. If Oracle derails Android, Google's purchase of MMI is really going to look expensive.
Oh sure, but c'mon - do you not find the responses just a bit soviet in their lock-step-ness?
At the very least Googorola should have supplied a greater variety of talking points for their OEMs
That would be counterproductive. Google's strategy seems to revolve around the belief that if you tell the same lie often enough that people will eventually believe it. Telling DIFFERENT lies isn't as effective.
I wonder if Motorola Mobility has any patents that will protect Google against Oracle's lawsuit. If Oracle derails Android, Google's purchase of MMI is really going to look expensive.
Comments
This will bring good competition between Apple and Google. As a result Apple has to do things better to excel and Apple will do that.
I get so bored of hearing that line. Like Apple really hold back...
The reason Apple has avoided that in the past is they know Google punches above its weight. It has a lot more money and and now a lot more patents to defend itself.
Actually the reason that Apple has mostly gone after the OEMs is because some of the patents explicitly cover devices and not software, because in claiming damages from Google they would be limited given Google's limited economic interest in Android and because even if they succeeded the OEMs could still continue to ship Android devices, so it wouldn't benefit their market position.
This is decidedly not fantastic news for Apple. Google can now directly challenge Apple to either nullify the patents Apple is suing everyone over, or instigate a cold war where Apple will not want to trigger the wrath of the company holding 25,000 patents dating back 30 years from the company who invented the cell phone.
First off any patent that is 30 years old is dead and gone, patents only last around twenty years. Second Google could always request a USTPO re-examination of Apple's patents, you don't have to be on the receiving end of a suit to do so. Third, apple was already happily triggering the wrath of a firm with 17000 patents and a further 7k pending.
I'm glad someone finally noticed this.
Paying a 63% premium on a company for patents that are likely to be no help (at least in any offensive way), and at the risk of losing all your partners, is a move that just reeks of desperation. Whether it works or not, this is definitely not a well thought out play by a reasonable company in control of it's direction IMO.
I think the assumption that none of these patents is useful in offence is premature. Whether or not Google has overpaid is unclear, but we know that Moto has patents which are not encumbered and it really only takes one patent that survives invalidation attempts, provides key functionality and cannot be innovated around in order to force Apple and MS to the table.
News on the Apple/Moto suits has been slow for a while, but I imagine we'll start to see more close coverage on them now that they've suddenly become so significant.
The other big takeaway for me (and I think for a lot of the general public), is simply that this is the last nail in the coffin of respectability for Google. There is simply no way that they can ever play that game of maintaining that they are different, or more moral, or not as evil as all the other companies. This is a total *sshole move that makes Apple look like Angels sprinkling fairy dust in comparison. It makes Google look nastier than Microsoft IMO and I think the general public will see it that way too.
What about the Moto purchase is "evil" or "nastier than Microsoft" or makes Apple "look like angels"? Seems to be a pretty straightforward attempt at protecting Android and it's licensee's from patent infringement allegations that other companies often deal with in licensing swaps. This just puts Google on a more level playing field when dealing with Apple/MS doesn't it, rather than kicking Sammy or HTC to the curb?
Google would pay Motorola $2.5 bln to walk -source
* Deal break fee is $375 million -- source
* Reverse break fee represents 20 percent of deal size
By Nadia Damouni
NEW YORK, Aug 15 (Reuters) - Google Inc <GOOG.O> would pay
Motorola Mobility Holdings Inc <MMI.N> a whopping $2.5 billion
if it decided to walk away from its proposed $12.5 billion
acquisition of Motorola, a source close to the situation said.
The reverse break-up fee represents 20 percent of the total
size of the deal, announced Monday.
On the other side, if Motorola were to decide not to go
through with the deal, it would have to pay Google a $375
million break-up fee, the source said. That represents 3
percent of the deal valuation of $12.5 billion.
Google said on Monday it would buy phone hardware maker
Motorola Mobility to bolster adoption of its Android mobile
software and compete with smartphone rival Apple Inc <AAPL.O>.
In its biggest deal to date, Google said it would pay $40
per share in cash, a 63 percent premium to Motorola Mobility's
Friday closing price on the New York Stock Exchange.
[ID:nL3E7JF1LD]
Lazard advised Google on the deal, while Motorola used
Centerview Partners and Frank Quattrone's Qatalyst Partners,
sources told Reuters.
(Reporting by Nadia Damouni, editing by Gerald E. McCormick)
(([email protected]; + 1 646 223 6356;
[email protected]))
Keywords: MOTOROLAMOBILITY/GOOGLE BREAKUPFEE
Samsung : We welcome today?s news, which demonstrates Google?s deep commitment to defending Android, its partners, and the ecosystem.?
HTC: ?We welcome the news of today?s acquisition, which demonstrates that Google is deeply committed to defending Android, its partners, and the entire ecosystem.?
S-E: ?I welcome Google?s commitment to defending Android and its partners.?
LG: ?We welcome Google?s commitment to defending Android and its partners.?
Is it just me or did somebody supply them with an Open Sourced response
http://thisismynext.com/2011/08/15/g...d-acquisition/
Some interesting reactions from other players (from TIMN)
Samsung : We welcome today?s news, which demonstrates Google?s deep commitment to defending Android, its partners, and the ecosystem.?
HTC: ?We welcome the news of today?s acquisition, which demonstrates that Google is deeply committed to defending Android, its partners, and the entire ecosystem.?
S-E: ?I welcome Google?s commitment to defending Android and its partners.?
LG: ?We welcome Google?s commitment to defending Android and its partners.?
Is it just me or did somebody supply them with an Open Sourced response
http://thisismynext.com/2011/08/15/g...d-acquisition/
I'd be shocked if Google didn't have some last minute discussions that offered reassurances to the licensees before the official announcement was made.
I predict this move will squeeze out other Android licensees. There is a reason Microsoft did not build computers. I doubt this will have much effect on Apple.
No, but Microsoft's mobile division is celebrating like crazy today.
You would have to think this will seriously piss off HTC, Samsung etc. Especially given the issues around Google preventing some licences putting other third party apps on the handset. On the one hand saying you must play by our rules, and now directly competing, sure to annoy them no end.
HTC, Samsung, etc will have to continue selling Android handsets, but it's easy to predict that they'll put less emphasis on them in the future - particularly if Google does what it does best and screws everyone else with its license terms.
Google in their Press State it wont be a merge. Moto Mobility will runs as a separate unit. So business as usual. There will still be Moto Phones. It is only the owner changed hands..
Do you think that HTC and Samsung are too stupid to realize that Google controls it - even if it's a separate division?
The only way out for Google is to sell the hardware division while retaining the patent portfolio. If they include a license to use the patents, they could probably get a reasonable amount for the hardware business while retaining the patents.
This still requires regulatory approval, wonder whether licensees will be heard and what they might say?
It certainly moves to lessen competition - when the OS developer now owns one of the major brands. It could be interesting. I wouldn't be surprised to see the hardware division sold off - both for regulatory reasons and for good business reasons (see above).
Still, it is a lot of cash for a patent play, 3 times what the Apple consortium paid. They would want to be making some good returns for the shareholders after splashing that amount of cash.
Yeah, funny how it was anticompetitive and stifles innovation when Apple's consortium spends $4 B on patents, but it's OK when Google spends 3 times as much, largely for access to the patents. I guess that means that Google stifles innovation 3 times as much.....
Furthermore, the majority of Motorola patents are already being licensed under FRAND terms. It's going to be very hard for Google to leverage that.
Depends. If they provide these patents to all of their partners for use in their Android products, none of them are going to complain too much. If they hold them tight, then yeah, their partners are going to revolt.
It's Google we're talking about. Every action they've taken in the past decade has been based on pure greed and self-centeredness. They apparently don't have any concept that partners are important.
But seriously, I think the answers lies in Larry Page's own words: "Our acquisition of Motorola will increase competition by strengthening Google's patent portfolio, which will enable us to better protect Android from anti-competitive threats from Microsoft, Apple and other companies."
So it's anti-competitive if Apple and Microsoft buy patents, but it increases competition if Google does so...
Does anyone believe ANYTHING these idiots say?
Fantastic news! Once this goes through Apple can start suing Google directly for their violations rather than the companies that ship their OS!
Why does that make you happy? What of "Those that can, innovate. Those that can't sue"?
We all know that Apple has one of the biggest armies of lawyers in the world. But few think that suing is a good business strategy.
... Seems to be a pretty straightforward attempt at protecting Android and it's licensee's from patent infringement allegations that other companies often deal with in licensing swaps. ...
It's only that if you believe the PR being spread this morning.
Take a look at what Android's licensees are saying this morning:
http://www.google.com/press/motorola/quotes/
Now tell me you believe that they all believe what they are saying there.
Then read this.
We don't really know exactly what's going to happen here, but if history is a guide it won't be good for the other licensees. It's not likely to be good for Motorola either.
I'd be shocked if Google didn't have some last minute discussions that offered reassurances to the licensees before the official announcement was made.
Oh sure, but c'mon - do you not find the responses just a bit soviet in their lock-step-ness?
At the very least Googorola should have supplied a greater variety of talking points for their OEMs
It makes Google look nastier than Microsoft IMO and I think the general public will see it that way too.
I don't think the general public knows or cares about what Google corporate does as long as they can continue to Google information. This kind of stuff only matters to techies and investors.
Your making a really confused argument here, its seems to me like you are blending together what's "good for Google," and "good for Android," in each statement. They are two separate things.
This move may or may not be good for Google, but at best it's a lateral move for Android and possibly a great big negative.
The perils of licensing to your competitors.
.
Android is not a wholly owned subsidiary of Google? i think it is.
Oracle suing Google has nothing to do with Android? i think it does.
Oh sure, but c'mon - do you not find the responses just a bit soviet in their lock-step-ness?
At the very least Googorola should have supplied a greater variety of talking points for their OEMs
Ah, sorry for missing the actual point you were making. Maybe they all relied on Google Translate for the English version.
Ah, sorry for missing the actual point you were making. Maybe they all relied on Google Translate for the English version.
Or maybe Samsung made the statement first and HTC, LG and S-E just content scraped it
Oh sure, but c'mon - do you not find the responses just a bit soviet in their lock-step-ness?
At the very least Googorola should have supplied a greater variety of talking points for their OEMs
That would be counterproductive. Google's strategy seems to revolve around the belief that if you tell the same lie often enough that people will eventually believe it. Telling DIFFERENT lies isn't as effective.
Why does that make you happy? What of "Those that can, innovate. Those that can't sue"?
We all know that Apple has one of the biggest armies of lawyers in the world. But few think that suing is a good business strategy.
So let me get this straight. The battle is
Google ("innovator") and $12,500,000,000.00 in freshly re-labelled patents,
v.
Apple ("patent troll") and patents developed internally for the iPhone.
I wonder if Motorola Mobility has any patents that will protect Google against Oracle's lawsuit. If Oracle derails Android, Google's purchase of MMI is really going to look expensive.
That's a big fly in the ointment.