As IP strategies go, Google's decision to bid for the patent portfolio of Nortel Networks, the failing Canadian telecommunications company could be described as a 'good move, after a slow start'.
Google has made a $900 million bid to acquire the extensive patent portfolio of Nortel Networks - a business that was originally founded in 1895 and is credited with a series of world firsts in telecommunications infrastructure and mobile telephony - as part of a move to bolster its defence against potential litigation in the ongoing mobile phone wars.
In his blog, Google's senior vice president and general counsel, Kent Walker, confirmed that acquiring the patent portfolio would 'create a disincentive for others to sue Google'. He also explained the company's thinking in seeking to acquire the patent portfolio, saying: "Google is a relatively young company, and although we have a growing number of patents, many of our competitors have larger portfolios given their longer histories."
In many ways, Google's move is sensible in a highly competitive marketplace in which they currently own fewer patents than other players that have been innovating for much longer.
In bidding for Nortel's patent portfolio, Google is intending to buy itself a chunk of mobile technology IP history dating back to the early 1990s - a time that pre-dates its own existence.
If they are successful in acquiring the patents, this could put them on a par with some of their key competitors, who were operating at that time, and make it easier for them to fend off future patent infringement claims.
Google has filed comparatively few patents since it was founded in 1998, and it is possible that the company has now decided that taking a more pro-patent approach could prove beneficial in the future.
Nick Wallin, partner and patent attorney at Withers & Rogers LLP - a leading UK firm of patent and trade mark experts. Nick specialises in the electronics, computing and telecommunications sectors. nwallin@withersrogers.com