The court of Canada and United States of America have approved sale of patents owned by Nortel Networks to Apple Inc. and Microsoft Corp.
According to The Wall Street Journal, the judges of the Ontario Superior Court of Justice and the U.S. Bankruptcy Court for the District of Delaware on Monday have given nod to the sale of patents that are estimated to be approximately $4.5 billion to the consortium of tech companies including EMC Corp, Ericsson, Research In Motion (RIM) and Sony Corp. other than Apple Inc. and Microsoft.
"This outcome is disappointing for anyone who believes that open innovation benefits users and promotes creativity and competition, We will keep working to reduce the current flood of patent litigation that hurts both innovators and consumers", stated Google's senior vice president and general counsel Kent Walker after the Bidco group won over the auction.
The Mississauga, Ontario-based bankrupt company Nortel Networks is selling around 6,000 patents and patent applications. Nortel, a leading telecommunication company, filed for bankruptcy in 2009. Since then, businesses of the company have been sold off in parts to pay off the debt to its creditors.
The auction ended after 19 rounds of bidding which was initiated by the Mountain View, California-based Google Inc. at a whopping sum of $900 million.