Motorola to collect IP royalties from other Android makers

Discussion in 'Apple, Inc and Tech Industry' started by FrozenTomato, Aug 11, 2011.

  1. FrozenTomato, Aug 11, 2011
    Last edited: Aug 12, 2011
  2. MacNut macrumors Core

    MacNut

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    #2
    Seems kinda stupid on Moto's part, why bite the hand that feeds you.
     
  3. FrozenTomato thread starter macrumors regular

    FrozenTomato

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  4. boss.king macrumors 68040

    boss.king

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    #4
    True. Motorola was suffering before the rise of Android. This is a pretty stupid move.
     
  5. *LTD* macrumors G4

    *LTD*

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    #5
    Should do wonders for the platform.

    (Then again, some of the box-makers aren't really making any money from the partnership.)
     
  6. Rodimus Prime macrumors G4

    Rodimus Prime

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    #6
    looking deeper into it Moto was referring to Patents it holds in 2G,3G and LTE. So that would mean everyone no matter who you are are effected by it. It is not android they would be going after but the phone makers. Seems like to me some headline spinning.
     
  7. FrozenTomato thread starter macrumors regular

    FrozenTomato

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    #7

    Here's what the CEO said.

    During a keynote at Oppenhimer Technology & Communication’s conference, Motorola CEO Sanjay Jha said, “I would bring up IP as very important for differentiation (among Android vendors). We have a very large IP portfolio, and I think in the long term, as things settle down, you will see a meaningful difference in positions of many different Android players. Both, in terms of avoidance of royalties, as well as potentially being able to collect royalties. And that will make a big difference to people who have very strong IP positions.”
     
  8. boss.king macrumors 68040

    boss.king

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    #8
    Would that mean Apple, HP, BB, etc could all be affected by it?
     
  9. FrozenTomato thread starter macrumors regular

    FrozenTomato

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  10. Rodimus Prime macrumors G4

    Rodimus Prime

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    #10
    yep. Reading it Moto has mostly been holding them as defense patents to throw at them. Rim could easily not have as big of an issue but since Apple does not have any patents in the 2g and 3G pull they can easily be hit by it.
     
  11. FrozenTomato thread starter macrumors regular

    FrozenTomato

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    #11

    The article indicates that other Android manufacturers are the most likely Target.
     
  12. smithrh macrumors 68020

    smithrh

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    #12
    MMI (the handset part that split off from the rest of Motorola, now called MSI) has a decent chunk of patents.

    * Carl Icahn publicly made statements last week that he'd like to see MMI get some revenue from those patents

    * Now Jha follows this with his statement... not rocket science here folks.

    Having said that, MMI is in a really bad place - they've found themselves in a commodity market, competing with manufacturers who used to make Motorola phones. Android leveled the playing field tremendously, much to Motorola's chagrin.

    Yes, a no-cost OS. Great, manna from heaven for the company that was bleeding literally billions of dollars. Now we can cut a bunch of product lines, phone and all of the R&D staff associated with those cut phones. Yay! We'll be profitable again!

    Wait, not so great, look at all these other people getting Android for free. Oh jeez, they know how to make hardware just as good as we do... maybe even cheaper and faster...

    So Motorola struggles to somehow differentiate themselves from HTC and company, and Blur is the answer. But Blur is hated by the geekerati (and for good reason). And Verizon pimps other phones from other manufacturers as Droids too, so not any exclusivity there either.

    So, the long term doesn't actually look good, so they're reaching out to Microsoft for WP7 and also trying to figure out how to slow down their Android competitors.

    Patents! That'll do it!

    Well, we'll see if their patent portfolio actually has anything in it that the other guys need. I suspect there might be a bunch of older patents in there, as Motorola cut way back on R&D starting around 1999. Maybe these older patents have punch still, maybe they don't. We'll see. If you don't hear a lot about this over the next 6 months then you'll know it was bluff.
     
  13. Gav2k macrumors G3

    Gav2k

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    #13
    Wirelessly posted (Mozilla/5.0 (iPhone; U; CPU iPhone OS 4_3_3 like Mac OS X; en-us) AppleWebKit/533.17.9 (KHTML, like Gecko) Version/5.0.2 Mobile/8J2 Safari/6533.18.5)

    I don't think apple would be stupid enough to avoid royalties in those areas do you??
     
  14. AppleScruff1 macrumors G3

    AppleScruff1

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    #14
    Of course they wouldn't. Jobs would sue his own mother if he could.
     
  15. FrozenTomato thread starter macrumors regular

    FrozenTomato

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    #15
    in some ways it makes sense for Motorola. If they decide to pursue this they'll get paid for every Android device that HTC, Samsung, Acer, Dell, Sony, Huawei, ZTE and other Android manufacturers sell.

    Motorola doesn't have to sell a single android-powered motorola device if they want. Less manufacturing, advertising and distribution expenses for them.

    They can just sit back, let HTC, Samsung, etc. do all the work, and collect the money.
     
  16. maflynn Moderator

    maflynn

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    #16
    The bottom line is if, Motorola owns the IP, then others who are using it need to license the technology.

    While HTC produces android phones, they are not "allies" of Motorola but competitors. If Moto can take money away from a competitor, or stop them from doing something, they put themselves in a better position.
     
  17. Tiggs macrumors 6502

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    #17
    Wonder if the amount of royalties they expect will be greater or less than the amount that MSFT will eventually extract from them.
     

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