Summary: “Microsoft will only be able to survive as a patent litigator/royalty collector,” writes Formic

We have discovered that Microsoft is using sneaky underhanded tactics again. It’s obvious to us that Microsoft has not changed. A lot of free software groups have been creating licenses which have clauses that require contributors give up the right to sue over patents they own that are related to their contributions. Microsoft has figured out a loophole to avoid having to give up the right to sue. I call it Microsoft’s “Man in the Middle Attack”.

“3. Firewall open source licensing. Licenses like the GPLv3 are an inescapable fact of open source and they do a fine job protecting their communities. However, they do that by placing responsibilities on corporate participants, especially on how they handle patents. Most modern licenses include a “patent peace” clauses, removing rights from community participants who turn out to be patent litigators.

“Microsoft has figured out a loophole to avoid having to give up the right to sue.”Those clauses also give broad patent licenses to a contributor’s patent portfolio. Additionally, most open source licensing experts believe all open source licenses give implied licenses to patents infringed from a contributor’s portfolio. A separate subsidiary provides an “arms length” relationship so that license terms can’t affect the parent company and unintentional free patent licenses don’t get given away. It wouldn’t do to be unable to collect fees from open source competitiors.”

Source: IDG

They have created a subsidiary which will contribute on their behalf. The effect of this is that since Microsoft isn’t contributing directly; they don’t have to give up the right to sue over patents they own. The subsidiary doesn’t have any ownership of their patents.

“They have created a subsidiary which will contribute on their behalf. The effect of this is that since Microsoft isn’t contributing directly; they don’t have to give up the right to sue over patents they own.”This is extremely dangerous to free software. By using this “Man in the Middle Attack”, they could contribute code by proxy that infringes on their patents. They can then claim ignorance since on paper; they aren’t in direct control of their subsidiary.

After doing this Microsoft will behave like it always does. It will start suing companies and blackmailing them with settlements that require paying royalties. With all the popularity of Android smart phones and tablets; Microsoft will only be able to survive as a patent litigator/royalty collector. They will become a company just like SCO with no real products, spending their money on lawsuits to collect more royalties. █

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