US Trade Commission Clears Microsoft of Patent Infringement

Microsoft prevented a probably pricey setback to its cell phone enterprise because the US global Trade Commission declined to dam the import of its units in a longstanding patent dispute. The ITC decided not to enforce a decision made by a trial judge last April, that ruled in favor of patent troll Interdigital.

The Trade Commission’s actions are good news to Microsoft, who have been struggling to compete with Samsung Electronics and Apple devices.

A spokesperson from Microsoft said that the company was grateful that the Trade Commission stopped InterDigital from attempting to block their products coming into the United States.

In its suit, Microsoft claimed that InterDigital was breaching the US 1890 Sherman antitrust act as a September partner by - among other things - charging too much, tying in useless patents to essential ones, not actually making any products and discriminating against MS because it’s a small player in the market. After reviewing that ruling, it was stated that Microsoft didn’t violate the patents, however it didn’t tackle the difficulty of truthful licensing for important patents. According to the recent information, InterDigital’s stock was down 3 percent after hours on Friday.

Companies steadily sue each on the ITC, which has the authority to dam the import of merchandise that infringe a US patent, and in district courtroom to win financial damages.

Microsoft last month posted a record quarterly loss as it took a $7.5 billion charge on its handset business, which it bought from Nokia past year. “The decision not to support the import ban would have limited repercussions, given the decline of the Nokia mobile device business under Microsoft’s control and its limited market position”, said Interdigital Chief Executive Officer William Merritt.

Wilmington, Delaware-based InterDigital first accused Nokia in 2007 of infringing its technology for optimising a cellphone’s power to connect to a network. Microsoft was found to have used two of Interdigital’s standards-essential patents without permission.

Microsoft cleared of patent infringement