Google proposes Android revenue for Oracle

Category: WTO Sub-category: Intellectual Property
Document type: news

4-Apr-2012 | 3:00 IST| Edited by: Sharmila maitra

Google has proposed to pay Oracle an adequate 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.

Oracle Corp. had sued Google Inc. in 2010, claiming that the Internet search leader's Android technology has infringed Oracle's Java patents. A trial is set for 16th of April before the US District Judge in San Francisco.

Oracle, however, has contended that Google should pay hundreds of millions of dollars.

Both companies have been asked to come up with ways to streamline the trial, which is expected to last about 8 weeks. In this response, Google proposed a deal that if Oracle succeeded in proving Google guilty of patent infringement, Google would not spend time fighting about damages if Oracle agreed to its figures.

Google has offered to pay Oracle roughly $2.8 million in damages on the two patents remaining in the case, covering the period through 2011, according to a filing made jointly by the companies.

For future damages, Google has proposed Oracle to pay 0.5% of Android revenue on one patent until it expires this December and 0.015% on a second patent until it expires in April 2018.

But Oracle said Google's offer is too low, and that Oracle would not give up the possibility of winning an injunction against Android.

Moreover, Oracle's own damages expert valued the two remaining patents at $4.15 million after adjustments.

But according to Google, those damages figures matched what had been calculated by a court-appointed expert in the case.

Oracle acquired Java through its purchase of Sun Microsystems in 2010. Earlier this month, Oracle agreed to withdraw several claims after some of its patents were struck down by the US Patent and Trademark Office.

However, the judge said that he was looking forward to the intellectual property trial if the companies could not reach an agreement.

Moreover, a separate issue in the dispute is over whether Google has infringed Oracle copyright. Oracle filed the suit in 2010, charging Google with patent and copyright infringement in Android. Google denies this wrongdoing.

The suit is scheduled to go to trial on April 19 in the U.S. District Court for the Northern District of California.


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Oracle Corporation is an American multinational computer technology corporation that specializes in developing and marketing computer hardware systems and enterprise software products - particularly database management systems.

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