EditorsAbout the SiteComes vs. MicrosoftUsing This Web SiteSite ArchivesCredibility IndexOOXMLOpenDocumentPatentsNovellNews DigestSite NewsRSS

06.01.16

Microsoft Extortion Against Android OEMs (Even Chinese Companies) Continues in Spite of Departure of Horacio Gutierrez

Posted in Google, Microsoft, Patents at 6:26 am by Dr. Roy Schestowitz

Xiaomi patent settlement

Summary: Microsoft reminds us that it is still engaging in patent extortion by signing yet another patent settlement deal which requires surrendering to Microsoft

JUST over a month ago Microsoft officials made it clear that the patent war against Android was still on. Now it’s confirmed by actions.

Today’s post is reactionary, as usual, and it will be about Microsoft extortion. We shall provide some background information to help explain why European regulators should put Microsoft on trial instead of taking Microsoft’s lobbying in Europe seriously, imposing fines on Google and acting as Google watchdogs.

Microsoft’s patent extortion against companies in China isn’t entirely new. Remember what it did to ZTE 3 years ago. Chinese authorities got visibly irritated by Microsoft’s patent shakedown and released a previously-secret list of patents Microsoft uses to extort companies in China, compelling them to obey Microsoft’s demands so as to avert costly litigation. Xiaomi is the latest victim, but to Microsoft the high-prized deal would be with Huawei, which is a growing force and dominant OEM in the Android domain. Huawei, based on reports we mentioned in past years, doesn’t surrender.

“Xiaomi is the latest victim, but to Microsoft the high-prized deal would be with Huawei, which is a growing force and dominant OEM in the Android domain.”More patent extortion from Microsoft serves to remind us that there is no strategic change at Microsoft. Microsoft cannot coexist with Linux and leave it alone/live in peace; it cannot help itself, it’s a scorpion (riding on a tortoise/turtle as per the famous parable) and it just keeps pinching that which it’s exploiting for a free ride (Android in this case) while relying on regulators — through lobbying — to prevent defensive reaction from Google. Horacio Gutierrez may be gone, but nothing substantial happened or changed. Don’t believe for a second that just because Microsoft’s patent Mafia don has left it somehow means the extortion strategy stopped. Microsoft never rescinded or withdrew this, except on April 1st (as a prank).

For those who are not sure what Microsoft is doing here, how it misleads the media, and what it means in practical terms, see this article about Acer. The above is repetition of the same strategy. They are putting lipstick on a pig again.

“This has nothing to do with access to services, it’s just how they dress up patent extortion and the coercion which comes with it.”In short, Microsoft tells Xiaomi, “do what we say or we’ll sue you with patents.” In other words, Microsoft threatens litigation and gives a “get out” clause (make Android become just a Microsoft platform). Having just killed Windows on mobile, this is all Microsoft has left. It uses blackmail tactics to impose its malware/spyware on potentially billions of phones. The ‘official’ announcement says this:

Microsoft Corp. and Xiaomi Inc. have expanded their global partnership to provide innovative user experiences on mobile devices. As part of the agreement, Xiaomi will ship Microsoft Office and Skype on Xiaomi Android smartphones and tablets. As a result, tens of millions of consumers and business customers in China, India and around the world will have new ways to work, collaborate and communicate. The companies’ new collaboration also includes a cross-license and patent transfer agreement.

Don’t be misled by “cross-license and patent transfer agreement.” It’s a settlement basically. The FFII’s President responded to this as follows: “Microsoft is the biggest patent troll.”

This has nothing to do with access to services, it’s just how they dress up patent extortion and the coercion which comes with it. And they tell us Microsoft “loves Linux”… does anybody still believe that? Not even Microsoft’s marketing staff should be gullible enough to believe it.

Update: Based on updates given to relatively high-profile reporters (and those who updated their puff pieces accordingly), Microsoft managed to get ‘protection’ money too, albeit not in the traditional form. Xiaomi has just been pressured to have paid (unless it just wanted to pay) Microsoft for useless patents; this is either a novel way to disguise another case of blackmail against Linux or part of Xiaomi’s patent hoarding efforts. Either way, it’s starting to become apparent that Xiaomi paid Microsoft, one way or another (the amount is not known). “The Wall Street Journal reports that Xiaomi will purchase 1,500 patents from Microsoft as part of the deal,” says one writer, citing an article that says “Xiaomi Corp. has agreed to purchase around 1,500 patents” (the term “agreed to purchase” suggests that it came from Microsoft, not from Xiaomi).

Share this post: These icons link to social bookmarking sites where readers can share and discover new web pages.
  • Digg
  • del.icio.us
  • Reddit
  • co.mments
  • DZone
  • email
  • Google Bookmarks
  • LinkedIn
  • NewsVine
  • Print
  • Technorati
  • TwitThis
  • Facebook

If you liked this post, consider subscribing to the RSS feed or join us now at the IRC channels.

Pages that cross-reference this one

A Single Comment

  1. dennis.cellodude said,

    June 1, 2016 at 8:48 pm

    Gravatar

    Thank you for this article. I am looking to get a new smartphone and it was a toss-up between Xiaomi and Huawei.

    Having read this article, I’m definitely going for Huawei. I consider myself fortunate to have been pointed here by Linux Today.

    DL

What Else is New


  1. Quality of Patents is Going Down the Drain and Courts Have Certainly Noticed

    Uncertainty or lack of confidence in the patent system has reached appalling levels because heads of patent offices are just striving to grant as many patents as possible, irrespective of the underlying law



  2. EUIPO and EPO Abuses Growingly Inseparable

    'Musical chairs' at CEIPI and the EPO/EUIPO (Battistelli, Archambeau, Campinos) as well as joint reports never fail to reveal the extent to which EPO abuses are spreading



  3. Links 21/5/2019: China's GAFAM Exit, DragonFlyBSD 5.4.3

    Links for the day



  4. Links 20/5/2019: Linux 5.2 RC1, LibreOffice 6.3 Alpha, DXVK 1.2.1, Bison 3.4 Released

    Links for the day



  5. South Korea's Government Will Show If Microsoft Loves Linux or Just Attacks It Very Viciously Like It Did in Munich

    Microsoft's hatred of all things GNU/Linux is always put to the test when someone 'dares' use it outside Microsoft's control and cash cows (e.g. Azure and Vista 10/WSL); will Microsoft combat its longstanding urge to corrupt or oust officials with the courage to say "no" to Microsoft?



  6. Links 19/5/2019: KDE Applications 19.04.1 in FlatHub and GNU/Linux Adoption

    Links for the day



  7. The War on Patent Quality

    A look at the EPO's reluctance to admit errors and resistance to the EPC, which is its very founding document



  8. Watchtroll, Composed by Patent Trolls, Calls the American Patent System “Corrupt”

    Another very fine piece from Watchtroll comes from very fine patent trolls who cheer for Donald Trump as if he's the one who tackles corruption rather than spreading it



  9. Unified Patent Court Won't Happen Just Because the Litigation Microcosm Wants It

    Unified Patent Court (UPC) hopefuls are quote-mining and cherry-picking to manufacture the false impression that the UPC is just around the corner when in reality the UPC is pretty much dead (but not buried yet)



  10. Links 17/5/2019: South Korea's GNU/Linux Pivot, Linux 5.1.3

    Links for the day



  11. Q2 Midterm Weather Forecast for EPOnia, Part 4: Happy Birthday to the Kötter Group?

    This year the Kötter Group commemorates the 85th anniversary of its existence. But is it really a cause for celebration or would a less self-congratulatory approach be more fitting? And does it create the risk that a routine tendering exercise at the EPO will turn into Operation Charlie Foxtrot?



  12. Links 16/5/2019: Cockpit 194, VMware Acquires Bitnami, Another Wine Announcement and Krita 4.2.0 Beta

    Links for the day



  13. The EPO's Key Function -- Like the UPC's Vision -- Has Virtually Collapsed

    The EPO no longer issues good patents and staff is extremely unhappy; but the Office tries to create an alternate (false) reality and issues intentionally misleading statements



  14. Stanford's NPE Litigation Database Makes a Nice Addition in the Fight Against Software Patent Trolls

    As the United States of America becomes less trolls- and software patents-friendly (often conflated with plaintiff (un)friendliness) it's important to have accurate data which documents the numbers and motivates better policy; The NPE (troll) Litigation Database is a move towards that and it's free to access/use



  15. Q2 Midterm Weather Forecast for EPOnia, Part 3: “Ein kritikwürdiges Unternehmen”

    A brief account of some further controversies in which the Kötter Group has been involved and its strained relations with German trade unions such as Verdi



  16. EPO Had a Leakage Problem and Privacy of Stakeholders Was Compromised, Affecting at Least 100 Cases

    The confidentiality principle was compromised at the EPO and stakeholders weren't told about it (there was a coverup)



  17. Links 15/5/2019: More Linux Patches and More Known Intel Bugs

    Links for the day



  18. False Hope for Patent Maximalists and Litigation Zealots

    Patent litigation predators in the United States, along with Team UPC in Europe, are trying to manufacture optimistic predictions; a quick and rather shallow critical analysis reveals their lies and distortions



  19. The Race to the Bottom of Patent Quality at the EPO

    The EPO has become more like a rubber-stamper than a patent office — a fact that worries senior staff who witnessed this gradual and troublesome transition (from quality to raw quantity)



  20. Q2 Midterm Weather Forecast for EPOnia, Part 2: Meet the Kötters

    An introduction to the Kötter Group, the private security conglomerate which is lined up for the award of a juicy EUR 30 million contract for the provision of security services at the EPO



  21. Links 14/5/2019: Red Hat Satellite 6.5, NVIDIA 430.14 Linux Driver and New Security Bug (MDS)

    Links for the day



  22. Links 14/5/2019: GNU/Linux in Kerala, DXVK 1.2, KDE Frameworks 5.58.0 Released

    Links for the day



  23. Q2 Midterm Weather Forecast for EPOnia, Part 1: Urgent Shitstorm Alert

    Experts at the European Patent Office's (EPO) weather observation station have just issued an urgent alert warning about a major shitstorm looming on the horizon



  24. Patents That Were Gleefully Granted by the EPO Continue to Perish in Courts

    The decreasing quality of granted European Patents already becomes a growing problem if not a crisis of uncertainty



  25. Links 13/5/2019: ExTiX 19.5 and GNU Radio Conference 2019

    Links for the day



  26. The Microsoft Guide to the Open Source Galaxy

    Thou shalt not...



  27. Microsoft Would Kill the Goose for Money

    Microsoft is just 'monetising' Open Source by using it as 'bait' for Microsoft's proprietary software; those who we might expect to antagonise this have effectively been bribed by Microsoft



  28. Links 13/5/2019: Nanonote 1.2.0, OpenMandriva Lx 4.0 RC, and GNUnet 0.11.4

    Links for the day



  29. Professionally Incompetent EPO Management

    The EPO remains an awful employer, with top-level management largely responsible for the loss of talent and even money



  30. Links 12/5/2019: Linux 5.1.1, GDB 8.3, KStars 3.2.2 Released

    Links for the day


RSS 64x64RSS Feed: subscribe to the RSS feed for regular updates

Home iconSite Wiki: You can improve this site by helping the extension of the site's content

Home iconSite Home: Background about the site and some key features in the front page

Chat iconIRC Channel: Come and chat with us in real time

Recent Posts