Bonum Certa Men Certa

The 'Microsoft Operandi' of Vaguely Alluding to 200+ Patents to Blackmail the Competition is Now Being Copied by China

Microsoft did this to demand payments for the use/distribution of Linux

Microsoft mouse



Summary: A look at Microsoft's latest strategy for 'monetising' GNU/Linux and how giants in China now copy that strategy, exploiting a large pile of patents for saber-rattling and demands of 'protection' money

THE "NEW MICROSOFT".



Yes, that's still a 'thing', apparently. So is "Microsoft loves Linux..." (or "Microsoft loves [something FOSS]")

"When it comes to patents, Microsoft changed the outward appearance of its approach, but the underlying approach is still the same. Microsoft drives up the price of Linux devices and tries to turn these devices into Microsoft cash cows. It's a racketeering approach, no matter how subtle it may seem."Smart people fall for neither of the two. Microsoft has not really changed.

When it comes to patents, Microsoft changed the outward appearance of its approach, but the underlying approach is still the same. Microsoft drives up the price of Linux devices and tries to turn these devices into Microsoft cash cows. It's a racketeering approach, no matter how subtle it may seem. Today we present some evidence from the past week alone.

A week ago Managing IP ran a new series about patents. Watch who sponsors this thing. The patent microcosm does, and the first episode is directly linked to Microsoft through the law firm (Microsoft's former chief and probably closest business partner). They hope to control the narrative.

"Microsoft is shaking down companies in China, using satellites that prey on Android/ChromeOS OEMs."But that's not the 'smoking gun'. What's more troubling was already covered here several times last month. Microsoft is shaking down companies in China, using satellites that prey on Android/ChromeOS OEMs. One specific example we gave from China was Nokia's taxation of Huawei and Xiaomi.

Nokia was reduced to a minuscule market share after Microsoft had destroyed Nokia and fed its patents to patent trolls. According to this (days ago), the market share may be somewhere around 1%. So Nokia is becoming a troll and/or is feeding trolls. It didn't do this before Microsoft's Elop took over.

"Nokia's licensing team had a huge 2017," IAM wrote, "but the company is predicting much more to come" according to this latest article, naming some of the affected OEMs:

In 2017 it signed a series of headline deals including with Apple, Huawei and Xiaomi - a run of success which saw patent business chief Ilkka Rahnasto crowned as our top market maker of the year.

[...]

Since Nokia sold its handset division to Microsoft in 2013 and went through an internal reorganisation which saw patent licensing become part of Nokia Technologies, the Finnish company has focused intensely on growing the return from its patent portfolio.


As we said last week, Nokia now goes after the OEMs which Microsoft was never able to shake down over Linux/Android (Microsoft's patent advantage over Huawei, for instance, wasn't strong enough). Microsoft is still stockpiling patents on the sorts of things it does not sell or barely ever sells. Its strategy is to just turn patents into a cash cow, helped by trolls and the likes of Nokia. They want a humongous 'patent tax' on everything Linux. It's hardly even a secret.

"As we said last week, Nokia now goes after the OEMs which Microsoft was never able to shake down over Linux/Android (Microsoft's patent advantage over Huawei, for instance, wasn't strong enough)."As for Xiaomi, it turns out that it has resorted to a similar strategy, at least in China (for now). As one IAM writer put it the other day, "Jiang Chao tipping his hand here? IP team must have told him they have 200 patents that read on Xiaomi products..."

Microsoft deja vu. Remember those 200+ unnamed patents it claimed were infringed by Linux when it started the blackmail campaign in 2007? Giants in China now use their patents like Microsoft used them a decade ago, in order to bully and blackmail small companies like Coolpad. Here's the latest:

Coolpad CEO Claims Xiaomi Violated Over 200 of Its Patents & Lawsuit Is To Create Awareness



[...]

The Chinese media was agog recently with news that Coolpad had sued Xiaomi before a Beijing court for patent infringement. Xiaomi had come out after that to deny the allegation and stated that it is yet to receive the court papers. The latest gist coming out of that story comes from Coolpad’s CEO Jiang Chao who revealed that Xiaomi’s infringement of its patents spans more than 200 patents. The CEO, however, stated that they decided to sue Xiaomi for just six out of the 200.


They're 'pulling a Microsoft' here. Xiaomi is behaving like Microsoft but for the time being only in China. Yesterday we saw a report titled "Xiaomi Says Coolpad Didn’t Sue It For Patent Infringement," refuting some false claims:

Xiaomi denied being sued for patent infringement by Coolpad, with the tech giant’s first comment on the matter claiming that it never received any official notice of such litigation being in the works, Chinese media reports. The statement was meant to reflect on recent reports that Coolpad is targeting several Xiaomi subsidiaries for infringing on a number of the company’s patents related to the Android operating system, though the smartphone maker says its only word of an upcoming legal clash came from those very same reports. It’s presently unclear whether Coolpad made a misstep in the process of filing for litigation or if the leaked lawsuit has yet to be filed in the first place. The supposed plaintiff refused to issue a more in-depth response to the allegations raised by the lawsuit as it said their details remain vague, making it unclear what exactly is Coolpad accusing it of.


Why would Coolpad even sue? It doesn't have anywhere as many patents as Xiaomi, so in a two-way battle where both companies have products (unlike trolls) it's only Xiaomi that can win.

"What's noteworthy here is that we're seeing US patents being reassigned to companies from China."According to this, "Chinese smartphone maker Oppo back on the patent purchase trail as it seeks to expand into new markets."

They know they need patents to avoid being hammered with lawsuits (like Coolpad above). The corresponding article shows that firms from China are now taking over US patents as well:

According to USPTO records, the Dongguan-based smartphone vendor obtained 37 US assets in one assignment on 17th January (the transfers were recorded on Sunday). All the patents involved were formerly owned by Intel, and they were assigned to an entity named Sky Royal Trading Limited before landing in Oppo’s possession. Sky Royal Trading is a Hong Kong registered company with no previous patent assignment record or other online footprint. It’s not clear whether it is a broker or a bespoke Oppo patent acquisition vehicle.


What's noteworthy here is that we're seeing US patents being reassigned to companies from China. We saw that before, albeit not often. It's actually a defensive strategy. The Beijing Higher Court, according Lexfield Law Offices, continues to enforce all sorts of claims, but those are only applicable in China. IAM's Jacob Schindler, in his latest magazine article, says that "[g]overnment bodies in Asia and beyond say that alternative dispute resolution is underutilised in disputes over fair, reasonable and non-discriminatory licences."

"That plays a role in the patents gold rush in China and helps explain why there are almost 1.5 million patent filings per year (as per last year at least)."Those are often patent pools, in which the only permitted participants (for free) are companies with loads of patents. That plays a role in the patents gold rush in China and helps explain why there are almost 1.5 million patent filings per year (as per last year at least). WIPO uses these insane numbers for propaganda purposes, neglecting to note that such numbers are MEANINGLESS without QUALITY being taken into account.

Recent Techrights' Posts

GNU/Linux Approaching 5% "Market Share" in Oceania, Almost Trebling in 12 Months
It is difficult to ignore the gains made by GNU/Linux this month
Microsoft Whistleblowers Explain How Brutal the Latest Cull is (Layoffs in Seconds-Long Calls, Mass Elimination of Whole Studios and High-Level Officials)
we see anonymous leakers or whistleblowers in the media today
Gemini Links 16/07/2026: esp32-gemserv, Slop-Contaminated Free Software, and Moving Systems
Links for the day
Last Summer Microsoft Mass Layoffs Came in Two Large Waves, Rumours Say Next Week Another Large Wave is Coming
If many more Microsoft layoffs are formally admitted next week we will not be surprised
Tomorrow is Another Strike Day at Europe's Second-Largest Institution, the Media is Still Deliberately Ignoring It
Fridays are now recommended “anchor days" for EPO strikes
Public Interest News Foundation Shows News Drought or News Deserts in the United Kingdom
Public Interest News Foundation shows that we should be deeply concerned
Illusions of Choice
Choices can be differently bad or equally bad
Windows Down to 10% in India
Windows is a "burning platform"
One Year Has Passed
Our aim is to repair an injured system wherein "abuse of process" can be turned into a weapon, leveraged even by foreigners who are funded by affluent third parties
Techrights is Annoying People Who Work for (and Serve) People Who Annoy (and Abuse) Society
Working against us (instead of with us) has historically been a bad strategy
No Skinnerboxes, No Slop, No False Idols or Corporate Prophets
Torvalds does not understand the everyday struggles of tech workers and tech users because he is a millionaire
IBM's Next Stop: $199 (Market Cap Already Under 2.5 Times IBM's Debt)
Don't rush to call us "sensationalist" over it
Links 16/07/2026: Solar Greenwashing by Energy-Wasting GAFAM and Growing Concerns About Harm by Social Control Media
Links for the day
Gemini Links 16/07/2026: Photography, Agility, and "Today I have Truly Become a Linux User."
Links for the day
Rebellion Brewing at Microsoft
As always, we welcome Microsoft whistleblowers
Technology Against Human Nature
Losing a sense of what it means to be alive
Over at Tux Machines...
GNU/Linux news for the past day
IRC Proceedings: Wednesday, July 15, 2026
IRC logs for Wednesday, July 15, 2026
IBM Down to $211.20, the Market in General is Up
No recovery for IBM today
UEFI 'Secure Boot' Still Not Secure in 2026, New Holes (or Bypasses) Still Being Found
In 2026 there are still many people who call it "secure" and pretend to themselves that it is about security. It's not. It never was.
Gemini Links 15/07/2026: Lab 6, Retrospective 2, and "Getting Back Into Gemini"
Links for the day
Links 15/07/2026: "Gianni Infantino Under Fire" and "Todd Blanche's Record Raises Alarming Questions About the Future of the US DOJ"
Links for the day
Allegedly More IBM RAs (Mass Layoffs) Same Day the Stock Crashed
No paper trail, so it never happened, right?
Techrights Was Right: Microsoft's Layoffs Tally Was False, Far More People Are Being Sacked
"The Xbox Bloodbath Is Actually Way Bigger Than It Seems"
Get Ready for Increase in PIPs and RAs at IBM, Red Hat, and Other Companies Devoured by IBM
IBM's "market cap" has just fallen to 199 billion dollars and it has about 70 billion dollars in debt
IBM Sinking to Lowest Levels Since 2024, But Will Any Executives Be Arrested for Securities Fraud?
52-week high of $332.46 and now down to $212.94
Microsoft Whistleblowers Say "The Entire Thing is Going to Fall Apart" and There Are "No Benefits" to Being Part of Microsoft
"Multiple sources, who chose to remain anonymous for fear of reprisal"
IBM's Crash Continues Today
Stocks go up and down, but they don't typically go down by over 25% in a single day
Like Kyndryl, Multiple Securities Fraud Investigations Into IBM
Remember what happened to Kyndryl
How Long Before GNU/Linux is Measured at 20% in Chad?
The main way to get people to adopt Vista 11 is to sell them a new PCs and in poor countries it happens a lot less
Making Techrights Faster Down Under (Australia and New Zealand)
there's more to life than speed
Strikes at the EPO Approved for the Rest of the Year, "€1,3 Billion Taken From Staff Income"
Intensity can be revised and increased over time
Focusing on What We Really Ought to Focus on
Today we'll focus mostly on EPO affairs
Violence is Not a Joke
"Police say Widdecombe killing was targeted but motive remains unclear"
How to Properly Measure the Performance of a Patent Office
A "contribution from staff [which] is published by SUEPO Munich."
Who Next After IBM? (Bubbles Don't Last Forever)
the demise of companies with "ai" in their name/domain
EPO "Cocaine Communication Manager" - Part XIV - "Not One of Us" (How the Group Dubbed by EPO Insiders "Alicante Mafia" Pushes Out Talent, Replacing It With Friends)
misuses the EPO's budget like it is a fountain of money for his friends
LibreTech Collective Abandons Microsoft GitHub and All Other Proprietary Software
Each time a project eliminates control by a hostile party it stands to gain
GNU/Linux Estimated at 8% "Market Share" Today (in statCounter)
Days ago it said 7.1%, then 7.3% or 7.4%
Links 15/07/2026: US Regime "Cuts Two Utah National Monuments by More Than 90%", "Hormuz is Less Crucial Than It Was"
Links for the day
Gemini Links 15/07/2026: Old Computer Challenge, "Trial by Fire", LLM Slop Destroying Companies
Links for the day
Over at Tux Machines...
GNU/Linux news for the past day
IRC Proceedings: Tuesday, July 14, 2026
IRC logs for Tuesday, July 14, 2026
Heshan de Silva-Weeramuni Becomes Program Manager at the Free Software Foundation (FSF)
Heshan's addition means that the FSF is growing after a solid financial year (best in years)
Michael McMahon Explains Distributed Denial of Service (DDoS) Attacks on the Free Software Foundation (FSF)
The real solution is a curb on botnets. A mitigation strategy, however, would involve going static.
Matters of Public Safety
"Police say Ann Widdecombe killed in 'targeted attack' as motive investigated"
The Register MS and Its Promotional Microsoft Content
It's not too hard to see what the business model of The Register MS is
IBM: From $306 to $212 in 7 Days, IBM Won't Go Up More Than 50% to Where It Was at 'Peak Vapourware'
There's a limit to how much or how long a company can fake its performance and its potential [...] Early this morning a few insiders ("traders") cashed in on their "pump-n-dump"
Red Hat Staff Needs to Start Looking for the Next Job
Workers can conveniently lie or deny it to themselves, but waves of PIPs ("silent layoffs") will sweep over more and more units or teams as the company runs out of money to play with
IBM the Next Bear Stearns
IBM cannot recover if all it has to show is vapourware
IBM Stock Collapses and It's Only the Beginning
Will GAFAM soon follow and will any executives be arrested for the accounting fraud insiders have long cautioned about?
I'll Be Extremely Difficult for Microsoft to Sell Any XBox Consoles Now
Microsoft understands this
How Software Freedom Would Benefit Everybody
A society that denies control by greedy companies would do a disservice to monopolies and improve all services to citizens
Links 14/07/2026: Harsh But Also Fair Criticism of Hey Hi (AI) Slop, 'Open' AI Shuts Down Its Own Products as Funds Run Out
Links for the day
Gemini Links 14/07/2026: Old CD Binder and AWK
Links for the day
In Defence of Physical Tickets
Tickets are not some "app" and not some "code" on some "screen"
Microsoft Layoffs Not Limited to XBox (False Narrative in the Mainstream Media)
Microsoft is becoming less relevant and workforce reductions won't end any time soon
Links 14/07/2026: Plagiarism Spun as "Training", Zelensky Announces Leadership Shuffle
Links for the day
The Register MS Has Just Published "AI" Webspam That Mentions "AI" 54 Times. It Was Paid to Do This.
Who pays for all this "AI" hype or "buzz"?
Gemini Links 14/07/2026: Self-Advocacy Online; "The Internet Is Dead: How the Web Lost Its Human Soul"
Links for the day
Over at Tux Machines...
GNU/Linux news for the past day
IRC Proceedings: Monday, July 13, 2026
IRC logs for Monday, July 13, 2026
Modern Technology Harms Women More Than Men (Because the 'Tech Bros' Who Dominate STEM Have a Poor View of Women)
“Privacy protects us from abuses by those in power, even if we're doing nothing wrong at the time of surveillance.”
Internet Relay Chat Trolls Are Not Expressing Opinions, They Are Saboteurs
For the record
Links 14/07/2026: "The Freedom of Information Act Is in Serious Trouble"; Irish Datacenters Use Up Almost 25% of Total Energy
Links for the day