A motion filed Tuesday by Google Inc (NASDAQ:GOOG) owned Motorola Mobility with the US International Trade Commission dropped two claims from its patent infringement complaint against Microsoft Corporation (NASDAQ:MSFT) from the pending matter regarding video-coding technology used in Xbox and smartphones.
The motion in the ongoing ITC patent battle between the two companies withdraws two patent claims from the larger dispute which continues. Stemming from wireless and video coding technology patent claims the litigation began in November 2010 when Motorola sued Microsoft technology used in Xbox and its smartphones.
At the time, Microsoft countered that Motorola was unfairly seeking excessive royalty payments for the H.264 video patents, which are an industry essential standard and as such must be offered on FRAND (fair, reasonable, and nondiscriminatory) basis.
In a related action, Motorola said Microsoft Corporation (NASDAQ:MSFT) should be made to pay royalties amounting to some USD $4 billion. That action continues to work its way through the US District Court of Western Washington. Google Inc (NASDAQ:GOOG) said today’s filing will have no impact on that case.
“Motorola Solutions Inc (NYSE:MSI) intends to enforce its rights for past damages in the District Court lawsuits,” according to the motion filed today by Google Inc (NASDAQ:GOOG), which bought Motorola Mobility last May for USD $12.5 billion. A decision is not expected until at least later this upcoming spring.
In a statement by David Howard, Microsoft’s deputy general counsel, he said, “We’re pleased that Google Inc (NASDAQ:GOOG) has finally withdrawn these claims for exclusion orders against Microsoft, and hope that it will now withdraw similar claims pending in other jurisdictions as required by the FTC Consent Order.”
Stock Price Performance: (30-Day) Between December 10, 2012 and January 9, 2013, Google Inc (NASDAQ:GOOG) stock price increased USD $49.33 (+7.19%) from USD $685.42 to $734.75. Microsoft Corporation (NASDAQ:MSFT) stock price decreased USD $0.25 (-0.92%) from USD $26.94 to $26.69. Motorola Solutions Inc (NYSE:MSI) stock price increased USD $1.93 (+3.53%) from USD $54.65 to $56.58.