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Community Rising: Expanding the Scope of OIN’s Royalty Free License to Enable Choice

Community Rising: Expanding the Scope of OIN’s Royalty Free License to Enable Choice. Agenda OIN Redux Activities – Buy, Build, Share Goals – Freedom and Choice Scope – Linux System Definition Realities that Shape the Context in which OIN and the Linux Community Operate

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Community Rising: Expanding the Scope of OIN’s Royalty Free License to Enable Choice

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  1. Community Rising: Expanding the Scope of OIN’s Royalty Free License to Enable Choice

  2. Agenda OIN Redux Activities – Buy, Build, Share Goals – Freedom and Choice Scope – Linux System Definition Realities that Shape the Context in which OIN and the Linux Community Operate Patent Speculators/Trolls Operating Companies Conclusion

  3. OIN Mission Summary Open Invention Network’s Role – Guardian & Enabler • Open Invention Network – Industrial Firms Committed to Open Source and Linux and Engaged in Purchasing/Licensing of Patents & Parallel External Actions to Create a Patent “No Fly Zone” around Linux • Patent Acquisitions – sampling of key patents in relevant technology areas • Biometrics • PHP • eCommerce

  4. OIN Mission Summary Open Invention Network’s Role – Guardian & Enabler • Open Invention Network – Industrial Firms Committed to Open Source and Linux and Engaged in Purchasing/Licensing of Patents & Parallel External Actions to Create a Patent “No Fly Zone” around Linux • Directed Invention (Universities, Individual Inventors, Acquired Patent-Centric SMEs) • Patents – 40-50 applications/year • Defensive Publications • Patents w/Defensive Publications • Royalty Free Licenses to ALL OIN-owned Patents and Patents that are part of OIN Cross-License – FREE ACCESS in return for • Cross Licensing Commitment • Agreement to Forebear Linux-related Litigation

  5. OIN Mission Summary Open Invention Network’s Role – Guardian & Enabler • Open Invention Network – Industrial Firms Committed to Open Source and Linux and Engaged in Purchasing/Licensing of Patents & Parallel External Actions to Create a Patent “No Fly Zone” around Linux • Defensive Activities • One on One Assistance to Those Under Threat • Prior Art Identification • Linux Defenders • OS “Peer to Patent” - prior art to allow patent applications to be rejected or enable reduced claim scope • OS “Post-Issue Peer to Patent” – prior art to enable the potential invalidation of existing patents • “Defensive Publications” – statements of prior art that prevent new patents from issuing • “LinuxDefenders911” – 24/7 help line to those in ‘patent distress’

  6. OIN Licensee US patents Holdings OIN “Owned” IP Assets & Licensees • > 490+ Licensees (OIN Secures a New Licensee Every Third Day) • > 400+ Patents & Applications • > 250+ Defensive Publications • > 300,000 Patents & Applications in Potential Cross-License/Grant Back Pool Note: For efficiency, only those licensees with US patents and/or applications are listed.

  7. OIN Mission Summary Open Invention Network – Expanding Scope of Coverage • New Developments • Q1 2012 and Q3 2012 Expansion of Linux System Definition from 1100 to >1800 Software Packages & Commitment to Perform Annual Upgrades of the Linux System Definition • OIN Linux System Expansion Translates into: • more cross-licensed patents in OIN License Pool • expansion of arena in which OIN Licensees must forebear Linux-related litigation • important step toward further demilitarization of patent landscape

  8. OIN and Linux in the Context of Challenge

  9. Dear Apple: Why Are You So Afraid Of Google, Android, And Samsung Group?

  10. “Android in the cross-hairs: if you can't compete with it, litigate it” By Jason Perlow for Tech Broiler | October 3, 2010 -- 07:57 GMT (00:57 PDT)

  11. Google: Apple's court victory vs. Samsung isn't 'core' of Android By Jessica Guynn, August 27, 2012, 10:59 a.m. Translation: 1) The goal is to raise total cost of ownership and make Android/Mobile Linux uneconomic. 2) The patent wars in mobile are not about core patent vulnerability of Linux BECAUSE 3) Both MS and Apple now understand that neither can compete longer term with the creativity and innovativeness that comes from OSS-based products that tap the collective intelligence of potentially millions of people versus what can be accomplished inside one company by a static team building around one proprietary platform

  12. For Release: 07/11/2012 FTC Testimony Expresses Concern that Owners of "Standard-Essential" Patents May Obtain Injunctions Enabling Them to Hold Up Other Firms Translation: 1) MS spent millions of US Dollars to attempt to restrict traditional mobile vendors from successfully using standards-based mobile/RF patents to effectively counterclaim with the threat of injunction against Apple and MS in Mobile Linux Litigation AND 2) Advancing the impact of less relevant patents held by MS and Apple

  13. Current Realities

  14. Current Realities • Realities – • Innovation – Discontinuous Innovation - that radically Redefines an Existing Market or Creates a New One - is Challenged by Incumbent Monopolists and Duopolists Seeking to Protect the Status Quo • Patent Wars Emerge BUT Rationalization Can Be Expected to Develop Over Time as the Linux/Android Antagonists’ Proprietary Products/Platforms are Vulnerable to Defensive Patent Counter-Attack in the Mobile Space – “Standards-Related “ Patents Key to Mobile Heritage of Innovation Being Safeguarded • eBay Ruling and ITC Reform Will Serve to Limit Ability of Speculators and Antagonistic Operating Companies to Secure Injunctive Relief and Further Encourage Negotiated Cross-Licenses

  15. Conclusion Open Source/Linux is a Social Phenomenon with Far Reaching Ramifications for Innovation - Economic Principle of Increasing Returns Applies 1 + 1 +1 = 6 As a result - • Open Source/Linux Enable Innovation in a Manner that is Threatening to Operating Companies Seeking to Restrict the Manner and Output of Invention – Direct Linux Antagonists • Market Dynamics have given rise to Increased Patent “Troll Litigation” that Limits Innovation and Diverts Capital to Defense – Indirect Linux Antagonists

  16. Conclusion Open Source/Linux is a Social Phenomenon with Far Reaching Ramifications for Innovation - Economic Principle of Increasing Returns Applies 1 + 1 +1 = 6 As a result - • Android Platform (not Linux in the main) and, more broadly, Mobile Linux subject to – direct and indirect – attack on patent grounds in a misguided effort to make total cost of ownership prohibitive for vendor and carrier deployment BUT in the end the market and freedom of choice wins out • “It is getting late early” YB – The time is rapidly approaching when those whose relationship with Linux and, more broadly, open source as a modality for invention must move from exploitative to enabling as the community’s capacities for self regulation will soon catch up with its self organizing capacities

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