Android Patent Infringement Case: Oracle Rejects Google's Settlement Offer

Oracle has rejected an offer made by Google to pay it a percentage of the revenue from its Android mobile operating system, if the verdict in the patent infringement suit goes against the search giant.

Oracle sued Google in 2011 for infringing on Java-related patents and technology used on the Android mobile operating system.

Android is a free mobile operating system used extensively by handset manufacturers. Google generates revenue from Android through advertisements it sells on the system.

Java was developed by Sun Microsystems, which was later acquired by Oracle. Google says that Sun Microsystems, prior to being taken over by Oracle, had made Java an open source software. Hence Google argues that there has been no patent infringement.

In January 2010 Oracle completed the takeover of Sun Microsystems and it sued Google for patent violation later in the year.

Google has proposed that if the patent infringement is upheld, it will pay Oracle $2.8 million in damages. Reuters reports that there are two patent violations in the case, and Google would pay damages of $2.72 million on the first and $80,000 on the second.

In addition, the proposal made by Google for prospective damages is to pay Oracle 0.5 percent of Android revenue on the first patent till the time it expires this December and 0.015 percent on the second patent till expires in April 2018.

Oracle, however, has rejected the proposal stating that the offer is too low. Oracle is also not ready to waive its right to seek an injunction. The trial is scheduled for April 19 in the US District Court of the Northern District of California.