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The price of Microsoft's patent protection deal

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  • Apteryx
    started a topic The price of Microsoft's patent protection deal

    The price of Microsoft's patent protection deal

    I just stumbled on something interesting: http://www.xandros.com/products/ip_assurance_na.html.

    You can buy (optional) the "intellectual property assurance" with the Xandros desktop for 50$.

    That would indicate that the other parties that partnered with Microsoft (e.g. Novell) might be paying as much as 50$ for every license they sell.

  • Qaridarium
    replied

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  • PsynoKhi0
    replied
    Originally posted by Saundra View Post
    Can someone explain this to me in laymen terms? I'm not quite sure that I understand why MS would pay so much to Novell. What exactly is meant by "intellectual property assurance", and what does this mean for the consumer?
    In layman terms: the "Be Very Afraid Tour"

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  • Tomfille
    replied
    It is supposed Novell is obliged to pay Microsoft a percentage of its revenue from Linux in order to prevent Microsoft from suing its customers based on patent infringements.

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  • Saundra
    replied
    Can someone explain this to me in laymen terms? I'm not quite sure that I understand why MS would pay so much to Novell. What exactly is meant by "intellectual property assurance", and what does this mean for the consumer?

    Leave a comment:


  • Apteryx
    replied
    Originally posted by Mstealth View Post
    I am unable to understand what you want to say?
    I was just surprised to be able to see a price tag associated with the MS patent protection deal (per user), so I posted it here.

    Deanjo, thanks for sharing these details.

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  • Mstealth
    replied
    I am unable to understand what you want to say?

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  • deanjo
    replied
    Originally posted by Apteryx View Post
    That would indicate that the other parties that partnered with Microsoft (e.g. Novell) might be paying as much as 50$ for every license they sell.
    Actually it is quite the opposite. Novell makes money off of MS in that deal. MS made a upfront payment to Novell for licensing of 348 million, also in agreement MS will spend 46 million annually for marketing and selling a combined SLES/Windows Server offering and in return Novell will spend ~ 40 million back in licensing per year over the fix year deal. Since then MS has purchased an additional 100 million worth of "linux support vouchers" from Novell.

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