Oracle Rejects Google's Settlement Offer, Aims for Android Ban in Trial
April 3, 2012 6:39 PM
comment(s) - last by
Software company holds out, hoping to bleed Google of more money
In U.S. District Court for the
Northern District of California
Magistrate Judge Paul S. Grewal
urged Google Inc. (
) and Oracle Corp. (
) to reach a settlement and licensing compromise in Oracle's
lawsuit against Google's mobile Android OS
Google, according to a
, had offered Oracle $2.8M USD in damages, a figure which Google acknowledged could grow if it loses the infringement trial (Oracle could make
as much as $100M USD
, according to recent valuations by expert witnesses). More importantly Google offered to license Oracle's two asserted patents in the case, at a rate of 0.5 percent of Android's revenue for one patent, and 0.15 percent for a second patent.
Oracle wasn't impressed, so it rejected the offer. A trial date was just set for April 16 at the San Francisco District Court. Judge William H. Alsup will preside in the trial phase.
In announcing that the settlement could not be reached and that the parties were headed to trial, Judge Grewal solemnly stated, "[T]he parties have reached an irreconcilable impasse in their settlement discussions with the undersigned... no further conferences shall be convened... [I]n the end, some cases just need to be tried."
He wished both companies' teams of lawyers "good luck" in the final battle.
Google has been dealt a bitter cup in the Java case. [Image Source: Oracle]
In the trial Oracle will try to establish that Google knowingly used the open source Apache distribution of Java, despite
knowing it was not validly licensed
and could be in infringement of Sun Microsystems' intellectual property, which Oracle inherited via its
$7B USD Jan. 2010 acquisition of Sun
Oracle's case is
built heavily around emails
indicating that Android managers were aware of this issue, but did not move aggressively to address it. Oracle also displays
Java processing source files contained in the Android repository
and how they allegedly reuse blocks of Sun's code, without holding a valid license.
Ultimately, Oracle's goal is to find Google is in infringement of its Java patents. While the damages (up to $100M USD) may not be huge, the licensing fees could be, if Google loses. It's unclear exactly how much Oracle can extract from Google in terms of licensing fees, given that Microsoft Corp. (
) is already raking in $10-15 USD per device [
]. With most Android devices already having narrow profit margins, and with Google only making a small haul on advertising, it's unclear how much revenue their really is for Oracle to gobble up, despite Android being the world's most used smartphone platform.
In addition, Apple, Inc. (
) is attempting to
ban Android handsets altogether
in the U.S., which may make licensing fees a moot point.
Google, on the other hand, will try to establish that Sun Microsystems knew about and verbally permitted its unlicensed use of Java. Google points to Sun Microsystems as having called Android a tool to "spread news and word about Java."
It quotes former Sun chief executive Jonathan Schwartz who
praised the launch of the unlicensed Android
as an "incredible" day for the Java family -- rather inconsistent language with Oracle's claims that Google flagrantly infringed on Sun's Java IP rights. (Oracle tried to delete the blog in which the former CEO wrote this, but was foiled by webpage archiving.)
We will keep you updated as the trial progresses ahead.
This article is over a month old, voting and posting comments is disabled
4/4/2012 5:43:58 AM
4/4/2012 1:36:02 PM
to be fair, a Lawyer has to pay para legals and a small army of assistants to help organize the case for trial. I am sure it still dwarfs the actual cost, but maybe its not so egregious
4/4/2012 7:17:30 PM
No, they bill about $100-$150/hr for paralegal time.
"If they're going to pirate somebody, we want it to be us rather than somebody else." -- Microsoft Business Group President Jeff Raikes
Judge's Ruling Upholds Apple Patent, Could Jeopardize Android's Future in the U.S.
April 2, 2012, 9:32 PM
Oracle's Anti-Android Java Lawsuit Likely to be Settled For Under $100M USD
March 23, 2012, 7:38 PM
Of Lawsuits and Licensing: The Full Microsoft v. Android Story
October 24, 2011, 12:36 PM
Oracle Receives Court Permission to Use Google's Email in Java Patent Case
October 21, 2011, 9:33 AM
Samsung to Pay Microsoft Royalties for All Android Phones It Sells
September 28, 2011, 3:35 PM
Retiree Sues Apple For $7,500 for Wiping Honeymoon Photos From His iPhone
November 30, 2015, 10:23 AM
iPhone 7 May Pack 3-4 GB Memory, More Storage; 4-Inch Comeback is Rumored
November 20, 2015, 10:12 PM
OnePlus One, OnePlus 2 Will Receive Android Marshmallow in Q1 2016
November 16, 2015, 9:58 AM
Lenovo Whoa: Motorola Droid MAXX 2 and Turbo 2 Break Cover in Leaks
October 26, 2015, 3:12 PM
Leak: Apple Preps for First Real Android App Foray With New Apple Music App
October 24, 2015, 1:59 PM
Pepsi Smartphone? Empty Calories Coming Soon to the Midrange
October 12, 2015, 11:41 PM
Most Popular Articles
Free Windows 10 offer ends July 29th, 2016: 10 Reasons to Upgrade Immediately
July 22, 2016, 9:19 PM
Smart Security Cameras: 5 Good Choices For Any Budget
July 25, 2016, 7:13 PM
Top 5 Smart Watches
July 21, 2016, 11:48 PM
2017 Porsche Panamera: I’ll Take Three of These.
July 24, 2016, 6:44 PM
Latest Blog Posts
Sceptre Airs 27", 120 Hz. 1080p Monitor/HDTV w/ 5 ms Response Time for $220
Dec 3, 2014, 10:32 PM
Costco Gives Employees Thanksgiving Off; Wal-Mart Leads "Black Thursday" Charge
Oct 29, 2014, 9:57 PM
"Bear Selfies" Fad Could Turn Deadly, Warn Nevada Wildlife Officials
Oct 28, 2014, 12:00 PM
The Surface Mini That Was Never Released Gets "Hands On" Treatment
Sep 26, 2014, 8:22 AM
ISIS Imposes Ban on Teaching Evolution in Iraq
Sep 17, 2014, 5:22 PM
More Blog Posts
Copyright 2016 DailyTech LLC. -
Terms, Conditions & Privacy Information