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Linux companies sign Microsoft patent protection pacts

In Microsoft vs. TomTom, Microsoft is suing TomTom in part because the guys from Redmond claim that TomTom's use of Linux in its navigation devices has violated three of its file-system related patents. One reason why Microsoft feels it can do this is that it already has patent cross-licensing agreements covering these patents with other Linux-using companies.

I dug this up during an e-mail discussion with Horacio Gutierrez, Microsoft's corporate vice president and deputy general counsel of intellectual property and licensing, Gutierrez said, "We have a history of licensing the patents in this case through patent cross licensing agreements with other leaders in the car navigation space, including Kenwood, Alpine and Pioneer, and through our FAT LFN (File Allocation Table/Long File Name) patent licensing program, where we have 18 licensees to date." This is being done under Microsoft's FAT LFN File System Licensing Program.

When asked specifically if "there are companies using Linux and open-source software, which have signed FAT patent cross-licensing agreements, such as the ones, which TomTom has refused to agree to?" Gutierrez replied, "Yes, other companies have signed FAT patent licenses, both in the context of patent cross licensing agreements and other licensing arrangements."

Why haven't you heard of this before? It's because Microsoft and the companies that have put these licenses under NDA (Non-Disclosure Agreements). So, while we now know there are at least 18 FAT LFN licensees, we still don't know which companies have signed such deals.

This information is kept secret by Microsoft and these companies are well-aware of the open-source and legal backlash that could result from admitting to these patent deals.

The most important reason why the specifics of these deals are under NDA is that any company doing a patent cross license without covering its downstream recipients, i.e. users, is a direct violation of GPLv2 section 7, and is even more explicitly a GPLv3 violation. In other words, if a company admitted to signing such a deal, it could not legally distribute software or hardware using Linux, licensed under the GPLv2, or Samba the file/print server licensed over the GPLv3.

Behind the scenes Microsoft has been threatening open-source software-using companies over patent issues for many years now. Now we know that some of these companies, when they say that company so and so agrees to cross license Microsoft patents without any further detail, we now know that some of these companies are violating Linux and other open-source software licensing.

By doing this Microsoft gets direct revenue from some open-source projects. The additional license fees also increases the cost of commercially supported open-source programs.

Microsoft has essentially been giving companies a choice: pay us under the covers, and violate the GPL, or don't pay and risk a lawsuit.

Now, thanks to TomTom's resistance, Microsoft has been forced to admit that they've already been selling patent protection to open-source using companies. Regardless of how the Microsoft/TomTom case turns out, this is something that open-source companies and non-profit organizations must address. These continuing and blatant violations of the GPL cannot be allowed to stand.

What People Are Saying

??

I still think this is a standoff Vis-a-Vis who is going to
sue first. Is the FSF, OIN, or Linux Foundation really
going to try to sue all of these people? It would be a
PR disaster. There are things we can do however.
Hit the blogs with "news" of the particular device that
"doesn't run Linux the way it is supposed to", causing
harmful radiation and damage to the environment.
This rogue software has also shown that it can corrupt
other systems like braking automation in cars and
telephone answering systems in homes. "linux is for
hobbyists and experimenters and is not recommended
for use in "brand X" devices". Hit their bottom line with
a 2 or 3 pct revenue loss from sales if they don't want to
play nice!

Why this matters

I think your paragraph "The most important reason.." does the best and most concise job of taking what Allison said in that Moody article and putting it into a well explained sentence.

Good job.

But hey, at least we know that Microsoft really, really, really likes us, right?

We shouldnt take extortion so seriously.
Or personally.

Reality Check

Huge companies like Sun or IBM have thousands of patents and license patents to/from other companies all the time. Are you saying that these companies are no longer allowed to distribute Linux or any other GPL>=2 software? It's a sensational story, but I don't see its relationship to the real world.

Time to Sue or Prosecute MS for racketeering

If M$ entered these deals with non-disclosure agreements, knowing that the non-disclosure is intended to hide their licensee's violation of GPL licensing, then it sounds like Microsoft may be guilty of collusion and racketeering. Whoever is responsible for protecting the patents and licesning for GP licenses should sue MS and ask for a big-time punitive settlement. And the gov. ought to look into possible criminal implications.

Well $aid!

The timing is the important thing:

[1] microsoft knew that TomTom had developed a new and sexy product (semi-embedded and customized for smaller cars).

[2] they knew that TomTom was in the midst of delicate contract negotiations with Toyota for next-gen GPS (since signed).

[3] they thought the economic commotion would mask their evil deeds from detection.

[4] Linux is suddenly surging in popularity. everyone seems to love it. windows 7, not so much.

MSFT attempted to inflate the perceived value of their (laughably) "substantial patent portfolio" in market eyes an hoped to escape detection in the confusion. In other words, business as usual. But this time they are caught.

I encountered a post earlier who wrote to the effect that he was at a loss to provide a laptop-computer to BOTH of his primary-school children. He did the FOSS math and discovered that he could buy two Ubuntu Linux laptops, from an well-known OEM, for the price of one Windows Vista system.

I sincerely pray that the FOSS community pushes for extortion charges to the limit and makes this all of the 235 patent violations alleged by microshaft against Linux. If what micro has produced to date is its best-shot, this should be like extraordinarily entertaining.

Think Governor Glowblowmavinchs, but ten times more-funnier, eh?

People need to recognize

People need to recognize that patents exist, and that companies need to find some way of sharing them. There are legal ways of sharing patent rights that respect the terms of the GPLv2 and other OSS licenses.

Any different than Novell deal?

Is it? And didn't both Eben and RMS bless that deal?

Not related to Samba

Microsoft's long filename patents have no bearing on Samba, since they are only relevant to the FAT file system and Samba does not use FAT. Fat is not a network file system. Samba uses the SMB file system (or CIFS, as Microsoft prefers to call it). Samba relies on the operating system to access disk file systems and then just translates whatever the operating system hands it to the SMB network file system (or vice versa).

It sounds like Microsoft is

It sounds like Microsoft is knowlingly counselling the violation of an existing contract which their patent licensees have previously committed to. This could put Microsoft in violation of such federal laws as Taft-Hartley. Microsoft may find that this ends up being a nuclear option, and not a good defense.

Adverse Interference

It appears that M/S may be guilty of "Adverse Interference" in that M/S has knowingly coerced or advised other companies to violate the terms of their contracts (GPL) with third parties.

Not a lawyer.