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Google Bids $900 Million For Nortel's Patent Portfolio

Google has offered $900 million to acquire Nortel Network's entire patent portfolio in an attempt to protect its Android operating system from lawsuits.

The company's massive $900 million bid is being considered as the 'stalking-horse bid' by Nortel, meaning that it would mean that the amount will be the starting point against which other companies will make their bids.

Some of the other companies that are likely to bid for now-bankrupt Nortel's patent portfolio are Apple, Oracle and Microsoft. The company is offering its 6,000 patents for sale, which cover almost every aspect of telecommunications technology including wired, wireless and digital communications, as a part of its bankruptcy auction.

Google believes that it is high time that it powers itself with a formidable patent portfolio to ward off existing and future lawsuits.

“Some of these lawsuits have been filed by people or companies that have never actually created anything; others are motivated by a desire to block competing products or profit from the success of a rival’s new technology,” Kent Walker, Senior Vice President & General Counsel, at Google, said in a blog post.

“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,” he added.