Microsoft bought AOL Patents and Sold 645 patents to Facebook
In latest development, Microsoft sold 645 of 925 AOL Patents which they bought from AOL on 9th April of this month as per a post on the news room announcement of Facebook in $550 million cash. It is a season of sale, resale, bizarre loss and profits. On 9th April of this month it was reported that AOL sold 925 of its patents to Microsoft and in less than two weeks Microsoft has found another buyer for the AOL patents. Microsoft also has 1.6% stake in Facebook and an ad partner of Facebook.
The post which is available on Facebook newsroom is descriptive and gives a detail picture of the deal.
1. Facebook will buy ownership of 650 Patents and Patent applications. Facebook will also get the license of the AOL patents and applicants that Microsoft will buy.
2. Microsoft will retain the ownership of more than 275 patents and the license of the patents which Microsoft has sold to Facebook. Microsoft will be left with 300 patents which AOL has not sold to Microsoft.
Microsoft Response: “Today’s agreement with Facebook enables us to recoup over half of our costs while achieving our goals from the AOL auction” said Brad smith executive vice president and general counsel of Microsoft. He also added that ”we had submitted the winning AOL bid in order to obtain a durable license to the full AOL portfolio and ownership of certain patents that complement our existing portfolio.”
Facebook Response: “Today’s agreement with Microsoft represents an important acquisition for Facebook,” said Ted Ullyot, general counsel, Facebook. “This is another significant step in our ongoing process of building an intellectual property portfolio to protect Facebook’s interests over the long-term.”