Saturday, November 3, 2012

Google Inc (NASDAQ:GOOG): FTC Staff Officially Recommend Google Patent Lawsuit

The US Federal Trade Commission would do take a wise decision if it sues Google Inc (NASDAQ:GOOG) for trying to block the access of competitors to crucial smartphone technology patents in infringement of antitrust law, the agency’s staff told commissioners in a formal recommendation, as revealed by four people, who are familiar with the matter.

As per sources, a majority of the agency’s five commissioners are inclined to take legal action. A final verdict on the staff recommendation is not likely to be made until 6th November presidential election.

Google’s attempts to block US imports of products manufactured by Microsoft and Apple by accusing them of infringing patents owned by Google’s Motorola Mobility wing are at considered to be the issue.

A Google spokeswoman, Niki Fenwick said that the company takes its commitments license on reasonable, just and non-discriminatory grounds very seriously. The company is open to answer any question related to the matter. A spokesman for FTC, Peter Kaplan has refused to comment.

The FTC has opened an official probe into the matter in the month of June, when it started looking for information from companies including Apple and Microsoft about whether Google offered licensing for technology under patents that help run 3G wireless, video streaming and Wi-Fi on fair and practical terms.
The FTC is also emphasizing on Google’s decision to continue court case started by Motorola Mobility over industry-standard patents before Google purchased the company. Those cases could end up preventing imports of popular consumer products such as Apple’s iPad and iPhone and Microsoft’s Xbox.

The president of the American Antitrust Institute in Washington, Bert Foer advocates strong enforcement of antitrust law. He said that there is a harsh emerging approach by antitrust regulators who have recognized that the failure to respect typical essential patent commitments required to be treated much more powerfully than in the past. 

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