"Google’s Six-Front War"

diogen

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Apr 16, 2007
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Interesting article and links within
Google’s Six-Front War
Larry Page seems to have determined that Google is moving into war and he clearly intends
to be a wartime CEO. This will be a profound change for Google and the entire high-tech industry.
At least it is clear on what side of the famous "An unjust peace is better than a just war" Page stands...:)

I can't say it surprised me.

Diogen.
 
I wonder if Google just didn't need the patents as it is the clear leader now in 4G LTE technology, but, we're at the very beginning of this new era in smart phone technology. Google advantage in this battle would be to keep the assets from it's enemies. They gave up that option. Was this a smart decision? Probably about as smart as when they gave up any chance to be in China and now Baidu has it all! Google has been making some real bone headed decisions since it's China decision. While it's Android OS is a clear winner in the market of smartphones, it is a clear money loser compared to it's rival competition. The decisions Google has made in the past 16 months has lost money for it's investors and turned a growing company into one that is rich with money losing enterprises. How long can Google search advertising carry all the other not profitable operations?

From Zacks.com: This past Friday news-

In a multi-day auction, the consortium of six technology companies including iPhone maker Apple Inc. (AAPL) won the bid to acquire Nortel Network Corp.’s intellectual assets for an estimated $4.5 billion.

Besides Apple, the consortium comprises EMC Corp. (EMC), Ericsson AB (ERIC), Microsoft Corp. (MSFT), Research In Motion Ltd. (RIMM) and Sony Corp. (SNE) won the right to Nortel’s patents and thereby gained the access to a pool of technologies used in mobiles and tablets. The transaction process is expected to be completed by the third quarter.

The sale is subject to Canadian and U.S. court approvals, which will be effective after a joint hearing expected on July 11, according to Nortel.

Google Inc.(GOOG) showed substantial interest in the patents but ultimately bowed out. The company had initially placed a $900 million bid for the Nortel assets last April.

According to sources, of the $4.5 billion to be paid to Nortel, RIM’s contribution is about $770 million and Ericsson $340 million. However, other financial details were not available.

Nortel’s intellectual property consists of more than 6,000 patents and patent applications r wireless, wireless 4G, data networking, optical, voice, Internet, service provider, semiconductor technologies, among others.

Of all the patents and patent applications, most of the smartphone companies, especially Apple, were vying for the patents relating to the 4G and Long Term Evolution (LTE) technologies.

Given the inherent advantages of the 4G technology compared to the conventional 3G technology, the former has gained tremendous popularity among mobile companies. The 4G technology not only accelerates the data transfer rate, but also reduces transmission error. The technology is more secure than 3G, and uses Internet Protocol address system similar to the Internet.

Separately, LTE uses radio waves to allow more data to be transferred over the same bandwidth used by 3G equipment. As a result, service providers should be able to get more data transferred out of their existing cells, and possibly lower the cost of running their networks.

LTE, which is currently under development, allows wireless providers to shift from 3G technologies to 4G networks and equipment using GSM (Global System for Mobile communications) and CDMA (Code Division Multiple Access) types of networks. However, LTE is not expected to be available for widespread use until 2012.

We believe Apple and Microsoft will likely be the main benefactors with the 4G and LTE technology. Apple has been facing stiff competition from Google’s Android-based handsets and has lost significant market share over the last few quarters. We believe a new upgraded 4G iPhone is absolutely necessary for Apple to boost its declining market share. Hence, the win at the auction will improve its chances of launching a 4G iPhone in the near term.
 

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