Free software distributors paying patent tax
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Since their 2006 deal with Novell, Microsoft has been demanding that distributors of GNU/Linux pay for permission to use unspecified patents. This coincides with Microsoft losing market share to free software such as GNU/Linux.
This page documents some examples regarding free software but it is worth noting that users of Microsoft Windows are also paying a patent tax.[1] Microsoft's activity is characterised by some as patent trolling (although they wouldn't fit the narrower term of non-practicing entity).
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[edit] List of companies paying
(This list mostly duplicates a similar list on Novell-Microsoft patent deals - this duplication should be avoided by a merge)
- Novell was the first famous case, in 2006 (see Microsoft-Novell patent deals)
- 2009-07-16: With Melco Group regarding Linux-based Buffalo NAS, and informationweek.com coverage Update: boycottnovell: Microsoft Sued Melco Group Over Linux and Microsoft is Likely to Lose Another Patent Case (VirnetX)
- Fuji Xerox[2]
- Samsung[3]
- Xandros[4]
- June 2009: Microsoft seeks $50 per copy of Xandros GNU/Linux (plus itWire coverage)
- LG Electronics[5]
- TomTom [6] (see Microsoft v. TomTom (2008, USA))
- I-O Data, (Japan), paying Microsoft
[edit] Quotes about these deals
Mark Shuttleworth of Canonical Group has characterised this activity as racketeering:
- "Microsoft is asking people to pay them for patents, but they won’t say which ones. If a guy walks into a shop and says: “It’s an unsafe neighbourhood, why don’t you pay me 20 bucks and I’ll make sure you’re okay,” that’s illegal. It’s racketeering."[7]
[edit] Reasons why companies sign
This is maybe best explained with an excerpt from a story from Forbes magazine. When Sun told IBM that their claims of patent infringement were unfounded, IBM replied:
- "maybe you don't infringe these seven patents. But we have 10,000 U.S. patents. Do you really want us to go back to Armonk [IBM headquarters in New York] and find seven patents you do infringe? Or do you want to make this easy and just pay us $20 million?""
IBM got their money.(source Forbes: Patently Absurd)
[edit] Related pages on en.swpat.org
- Free software projects harmed by software patents
- Used for sabotage rather than competition
- All businesses are targets
- Patent trolls
[edit] References
- ↑ http://www.softwarefreedom.org/resources/2007/patent-tax.html
- ↑ http://news.cnet.com/2100-1014_3-6169454.html
- ↑ http://news.cnet.com/2100-1014_3-6177381.html
- ↑ http://stephesblog.blogs.com/my_weblog/2007/06/microsoft_messa.html
- ↑ http://blogs.siliconvalley.com/gmsv/2007/06/another_firm_bows_to_microsofts_patent_threat.html
- ↑ http://yro.slashdot.org/article.pl?sid=09/03/30/1853219
- ↑ http://mybroadband.co.za/nephp/6672.html
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