Bonum Certa Men Certa

Software Patents and Patent Taxes: How 100 Grams Worth of Components Can Cost as Much as $1000

Nearly challenging the price of gold now

Phone and USPTO
Phones now a pocket-sized patent thicket



Summary: A roundup of recent news about patents that affect phones in particular, notably patents on software rather than hardware

THE SUBJECT which is software patents hasn't been covered here recently. It's due to other important issues. "How to get around software patents" is an article published nearly a week ago. To quote part of it: "Isn't is possible to work around software patents and use [...] In some cases it is really possible. The Ogg/Vorbis developers have done patent research and hope their format won't vulnerate patents in the United States."



"The patent attacks on Chinese companies have led some of them to a pursuit of patents akin to stockpiling."Well, Apple's Steve Jobs attacked Ogg, as we wrote here several times in past years (well before Jobs' death). Don't forget that, when it comes to patents, Apple is not only a foe of Linux (and by extension Android) but of FOSS as a whole. There's a long tradition to it, as we showed here over the years.

Earlier this month and later last year we wrote about Xiaomi, a rival of Apple, craving or lusting for patents (perhaps as many as 10,000). Two recent articles from IAM [1, 2] said more about this area, noting that "Xiaomi’s latest gambit in its quest to find sales growth outside of its home market of China was a short-lived one. The company launched its first phones in South Korea last Monday, 4th January, through KT Corporation, the nation’s second largest mobile carrier. Just two days later, the handsets were abruptly pulled from the market, based on what KT described as “legal matters related to sales”. There are several possibilities for what has happened, but given the company’s history of IP troubles, some in the media have wondered whether a patent dispute is behind the setback. If that does prove to be the case, it would raise some serious questions about Xiaomi's IP strategy and its ability to gauge its own freedom to operate."

The patent attacks on Chinese companies have led some of them to a pursuit of patents akin to stockpiling. Over a week ago we learned about Huawei and Ericsson signing a patent agreement [1, 2] and it is worth noting that Ericsson uses patent trolls as fronts. "As the battle for patents rages on," said one report, "and tech giants are at each other’s throats on court, arguing who has the right to use what technology, two companies have extended their agreement to use each other’s patents without much hassle.

"Imagine higher prices on everything (the lawyers' tax), including mobile phones whose prices are artificially high.""Those two companies are Ericsson and Huawei and they have, according to a recent press release, extended their global patent licence agreement that includes patents regarding wireless communication technology."

This new report about Ericsson's troll, Unwired Planet (formerly Openwave Systems), shows that Ericsson has become a big liability to Android companies. Unwired Planet has become a leading example of patent trolls serving even European companies, or a proxy war with SEPs. This is what UPC would lead to more of (given growing momentum it's easy to be pessimistic, especially now that UK-IPO and British patent lawyers make decisions behind closed doors), making Europe more accessible to patent trolls from the US as well. To quote lawyers' media: "The UK government has prepared legislation to give effect to EU legislation on the unitary patent and to the Agreement on the Unified Patent Court (UPC), which backs the creation of a new UPC for resolving disputes over new unitary patents."

Imagine higher prices on everything (the lawyers' tax), including mobile phones whose prices are artificially high. That's where we are today.

Earlier this month, Florian Müller chose to focus again on Apple's patent war with Android [1, 2]. "Today I received a really interesting Lex Machina press release," he wrote. "Lex Machina, a LexisNexis company, operates the Legal Analytics platform and claims that companies such as Microsoft, Google, Nike and eBay as well as various top-notch law firms are among its clients. Its new "Patent Trial and Appeal Board 2015 Report" provides lots of insight about last year's trials before the United States Patent and Trademark Office's (USPTO) Patent Trial and Appeal Board, i.e., the USPTO's in-house court system." This study, Müller says, shows that Apple and Samsung now use so-called 'patent death squads'.

"We have written so much about the so-called slide-to-unlock patent, which is effectively a software patent."In other news [1, 2], "Samsung is appealing its Apple infringement case to the Supreme Court because a very old law is a bad fit with very modern technology" (with the CCIA's support).

The case, which we have grown quite tired of after half a decade, is still the subject of much media coverage (the latest development is that Apple is suing Samsung for embargoes to be belatedly enforced and technology giants take Samsung's side [1, 2, 3, 4, 5, 6, 7]) and legal sites too.

"Devices that cost just several dollars to make (on the basis of material) end up being sold for almost a thousand dollars in some cases."As Müller put it earlier this month: "The '721 slide-to-unlock patent, whose European sibling has already been held invalid by 15 judges, is irrelevant not only because it will likely be held invalid but also because it covers only certain graphical variants of the slide-to-unlock mechanism, but not the slide-to-unlock functionality as a whole."

We have written so much about the so-called slide-to-unlock patent, which is effectively a software patent. We don't wish to spend too much time debating it again, but we are gratified to learn that Apple too receives a reminder of the harms of software patents. "Apple has been targeted in a patent infringement complaint centring on its voice recognition technology Siri," said WIPR the other day.

The bottom line -- if there is one -- might be that patents are very destructive in the so-called 'smart' phone space (smartphone). Devices that cost just several dollars to make (on the basis of material) end up being sold for almost a thousand dollars in some cases. Who benefits from this?

Recent Techrights' Posts

If You Don't Want "Linux" to Become "Windows", Then Follow GNU
GAFAM isn't a friend of Linux; it's only a user in the same sense clients are "users" of a brothel
This is What the Slop Bubble Popping Can Look Like
Maybe not an overnight collapse, but getting there gradually
More Confirmatory Rumours Regarding "Massive" Red Hat Layoffs
Ecosystem and sales said to be targeted
Office Meetings Are Most Useful to the Least Productive Workers
In my "office life" days I really didn't like meetings
Claim That the Board of Directors at IBM Isn't Happy With How the Company is Run
IBM tries to project an image of strength to the whole world, especially to its clients
 
European Patent Office (EPO) Industrial Actions Formally Start in Two Hours
As per the latest (revised) action plan, today workers will slow down their work and limit patent grants
Microsoft Under Fresh Investigation by the Italian Competition Authority
In 2025 we kept a running tally of 30,000+ Microsoft layoffs, so 40k this year would not be unthinkable
The "Alicante Mafia" - Part VI - More Strikes Planned at the EPO, Starting This Month
Yesterday we said that friends of Berenguer or inside Berenguer's circle may have left
IBM Plans for Layoffs Becoming Clearer With "Employee Reviews"
Of course this impacts Red Hat as well
Gemini Links 20/01/2026: New Tea, Using a Roku at a Hotel, and "Voltage-Based Power Management for Any Raspberry Pi"
Links for the day
Over at Tux Machines...
GNU/Linux news for the past day
IRC Proceedings: Monday, January 19, 2026
IRC logs for Monday, January 19, 2026
Links 19/01/2026: National Broadcasters on World or Local Affairs Up to a Week Ago
Links for the day
Gemini Links 19/01/2026: Game Boy and "The Lounge" (IRC) for the Elderly
Links for the day
Slopfarms in Google News (at Least Three Today) With Fake 'Articles' About "Linux"
Google itself is trying to promote its own slop ("Overview") at the expense of original and credible sources
Links 19/01/2026: ChatGPT’s Defects and The Guardian on Why So-called "AI Companies Will Fail"
Links for the day
IBM Quiet About Its Plan for Red Hat Amid Accelerated Bluewashing
Something is going on at Red Hat
The "Alicante Mafia" - Part V - It Seems Like Some People Are Already Leaving "The Mafia"
they have a rough idea of what's coming
Microsoft Means War, Microsoft is on the Side of ICE
Microsoft, people-ready
Proprietary UNIX is What We'll Have If IBM Red Hat Gets Its Way
IBM Red Hat wants to control everything, even if that means killing everybody
Free Software in Times of Peace (and Times of War, Too)
GAFAM and IBM are war companies
Founder of GNU/Linux (RMS) Speaks in US University (College) This Week
The auditorium has very high capacity and this is his "college comeback" talk in the United States
LinuxSecurity and Linuxiac Are Still Slopfarms, Even Anthony Pell Does It
We suppose waiting another month or another year won't change a thing
Links 18/01/2026: Legal Trouble for xAI, Climate Concerns, Data Breaches and More
Links for the day
'Vibe Coding', Chatbots, and Other Bots (e.g. "Agents" Disguised as "Superintelligence") Aren't Saving You Time
False marketing, FOMO marketing tactics
Gemini Links 19/01/2026: Analog Cameras and Plucker in 2026, US Losing Acceptability in Europe
Links for the day
Over at Tux Machines...
GNU/Linux news for the past day
IRC Proceedings: Sunday, January 18, 2026
IRC logs for Sunday, January 18, 2026
Links 18/01/2026: The "Deepfake Porn Site Formerly Known as Twitter" and Turkey to Block Kids' Access to Social Control Media
Links for the day
Gemini Links 18/01/2026: Against English as Language of the Net, "Symposium of Destruction"
Links for the day
You Would Expect This Kind of Misleading Narrative Shortly Before Microsoft (or GAFAM) Mass Layoffs
misleading PR
FOSDEM 2026: democracy panel, GNOME & Sonny Piers modern slavery experiment
Reprinted with permission from Daniel Pocock
Pump-and-Dump With IBM Shares, Courtesy of People Who Stand to Gain From the 'Pump'
"3 Reasons to Buy IBM Stock Right Now"
IBM: Spying on Staff Like Never Before and Implementing Silent Layoffs This Month, Say Insiders
what we heard from whistleblowers seems to corroborate
'Cancel Culture' Doesn't Work (in the Long Run)
Despite all the attacks, I'm enjoying life, I'm keeping productive, and our audience continues to grow
IBM is Not a Free Software Company (It Never Was)
Red Hat's main product, RHEL, is full of secret sauce and has 'secret recipes' (it is basically proprietary)
IBM Turning Up the 'RTO' (Stress) and 'PIP' (Fear) Heat on Workers, Rebellion May be Brewing
Sometimes it feels like today's executives at IBM view IBM workers as a liability
Links 18/01/2026: Indonesia Against Comedy, Media-Hostile (Censors Comedians) Convicted Felon in White House Defecting to Opponents of NATO
Links for the day
GNU/Linux Still up (statCounter Says to 6%) in Bosnia And Herzegovina
Let's see where it is at year's end
Making Layout Changes
Feedback can be sent to us
Behind an Economy of Fake 'Worths' and Fictional 'Valuations' or 'Market Caps'
They normalise white-collar crime and say "everyone is doing it!"
Links 18/01/2026: "South Africa is Running Out of Software Developers", Companies Spooked to Find Slop is a Major Liability
Links for the day
Eventually the Joke (and Financial Fraud) is on Microsoft, Stigmatised for Slop
Is Microsoft trying to commit suicide?
GNU/Linux Leaps to All-time Highs in Virgin Islands
it seems to have started around the "end of 10"
Place Your Bets: Who Will Die First? Microsoft or IBM?
Not even joking; make a guess
Making and Keeping the Sites Accessible
Sometimes less does mean "more" (or "MOAR")
The "Alicante Mafia" - Part IV - How Europe's Largest Patent Office Recruited Drug Addicts, Antisemites, and People Who Absolutely Cannot Do the Job (But Know the 'Right' People)
To better overlap industrial actions we might delay/postpone/pause this series for a bit
Restoring Professional Pride in the Tech Sector
Rejecting slop isn't being a Luddite
Benefiting by Adding Presence in Geminispace
As the Web gets worse, not limited to bloat as a factor, people seek alternatives
Google News Recently Started Syndicating Another Slopfarm, Linuxiac
Even if Google is aware that there is slop there, it's hard to believe that Google will mind
Slop Bubble "Is Worse Than The Dot Com Bubble"
Edward Zitron Says It like it is
Software Patents and USMCA (or NAFTA)
We recently pondered going back to issuing 2-3 articles per day about patents and common issues with them
IBM Sued Over PIPs
PIPs are "performance improvement plans"
Sites With "Linux" in Their Name That Are in Effect Slopfarms and Issue Fake Articles
We try to name some of the prolific culprits
Gemini Links 18/01/2026: Raising Notifications From Terminal and Environmental Sanity
Links for the day
IRC Proceedings: Saturday, January 17, 2026
IRC logs for Saturday, January 17, 2026
Over at Tux Machines...
GNU/Linux news for the past day