Quick Facts
FONT-SIZE Plus   Neg
Share SHARE

Microsoft, Facebook Announce $550 Mln Patent Deal

RELATED NEWS
Trade MSFT now with 

Software giant Microsoft Corp. (MSFT: Quote) and social networking giant Facebook on Monday announced a definitive agreement under which Microsoft will assign to Facebook the right to purchase for $550 million in cash a portion of the patent portfolio it recently agreed to acquire from AOL Inc. (AOL).

In the initial AOL auction, Microsoft secured the ability to own or assign approximately 925 U.S. patents and patent applications plus a license to AOL's remaining patent portfolio, which contains about 300 additional patents that were not for sale.

As a result of Monday's deal, Facebook will obtain ownership of about 650 AOL patents and patent applications, plus a license to the AOL patents and applications that Microsoft will purchase and own.

Following the closing of the deal with Facebook, Microsoft will retain ownership of about 275 AOL patents and applications; a license to the about 650 AOL patents and applications that will now be owned by Facebook; and a license to about 300 patents that AOL did not sell in its auction.

The parties are evaluating the accounting treatment for these transactions.

Click here to receive FREE breaking news email alerts for Microsoft Corporation and others in your portfolio

by RTT Staff Writer

For comments and feedback: editorial@rttnews.com

Business News

Quick Facts

Editors Pick
Beverages giant Coca-Cola Co. reported Tuesday a profit for the third quarter that decreased 14 percent from last year, despite higher worldwide volumes, reflecting a revenue drop. Adjusted earnings per share matched analysts' expectations, even as quarterly revenues missed their estimates. Following the announcement, the company's shares are trading more than five percent lower in early deals. Apple Inc. said Monday that its fourth quarter profit rose 13% from last year, driven by strong sales of its iPhones and Mac computers. The company's quarterly earnings per share also came in above analysts' expectations as did its quarterly sales. At the same time, the company gave an upbeat revenue forecast for the current quarter, which includes the all important holiday season. Programmable chipmaker Xilinx Inc. (XLNX) said Thursday after the markets closed that its second quarter profit rose 21% from last year, helped by higher revenue and better cost control. The company's quarterly earnings per share also came in above analysts' expectations as did its quarterly revenue....
comments powered by Disqus
FREE Newsletters, Analysis & Alerts

 

Stay informed with our FREE daily Newsletters and real-time breaking News Alerts. Sign up to receive the latest information on business news, health, technology, biotech, market analysis, currency trading and more.