Motorola fails to secure Xbox 360 ban

Motorola Mobility, owned by Google, has failed to secure a sales ban on Microsoft's Xbox 360 gaming console over the alleged infringement of its patents.

Motorola Mobility, owned by Google, has failed to secure a sales ban on Microsoft's Xbox 360 gaming console over the alleged infringement of its patents.

 
The mobile firm was hoping to prohibit sales of the console in the US and Germany, but US Judge James Robart denied its request, citing the fact that the disputed patents operate under FRAND rules, which means they must be offered under “fair, reasonable and non-discriminatory” terms.
 
Motorola also wants Microsoft to pay fees of up to $4 billion a year to use the patents, which cover Wi-Fi connectivity and H.264 video-coding technology. A sales ban would have given the company considerable leverage over Microsoft.
 
 Motorola fails to secure Xbox 360 ban
 
However, Microsoft is not contesting Motorola's request for a fee, but wants the figure to be reduced. Motorola suggested negotiations with a starting point of a 2.25 percent royalty, which a jury will decide on in the near future.
 
Although a sales ban may not have been in place in time, Microsoft will likely be considerably relieved, given the importance of the Christmas shopping season for console sales. Lack of supply for Nintendo's next-generation Wii U console has helped with sales of rival gaming systems. 
 
While Microsoft might enjoy some relief over the holidays, it will still end up paying a pretty penny to Motorola to keep the Xbox 360 on the market, as it cannot afford to axe features like the ability to connect to the internet via Wi-Fi.
 
Source: BBC