Motorola Requests 2.25% on All 3G-Enabled Apple Devices Sold
Apple lost a patent lawsuit to Motorola in Germany last week that forced their hand in briefly removing their 3G-enabled iOS products from store shelves. The lawsuit covered 3G/UMTS technology. While the products have returned, Apple is not in the clear.
Motorola is still seeking damages of 2.25% of the revenue from each 3G-enabled Apple product sold. At that rate, Motorola would be owed $2.1 billion since the launch of the first iPhone in 2007, plus royalty for future sales.
It may not seem like much considering Apple’s cash reserves of nearly $100 billion but it would definitely be a nice payday for Motorola who have been losing money for quite sometime (though they are on the right track).
This figure might be denied as it may violate the FRAND rules that Motorola must operate under. Since the patent they hold is now a worldwide standard, they cannot deny Apple a fair shot at using the patent.
They can still force Apple to pay for licensing the patent but the price per unit amount must be reasonable as decided by the judge overseeing the case. Either way, Motorola stands to be paid from one of the most lucrative mobile businesses in the world. [Engadget]