Google's Android settlement offer is rejected by Oracle

SOFTWARE DEVELOPER Google has offered to pay Oracle a small percentage of Android revenues and $2.8m in damages if Oracle can prove it infringed Oracle's patents.

Google and Oracle have been going through a long, bitter and very public pre-trial process over Google's Android operating system, which Oracle claims infringes its Java patents. Google proposed to give Oracle a small cut of Android revenues and pay damages if Oracle can prove patent infringement.

Google's proposal was that if Oracle could prove Google infringed two patents, Google would not fight over damages, instead offering a pre-agreed $2.8m for the two patents remaining in the case. Google also proposed it would pay 0.5 per cent of Android revenue on one patent that expires in December 2012 and 0.015 per cent on another patent that expires in April 2018.

Oracle on the other hand has been trying to justify significantly higher damage claims. Although damage reports from its 'expert witness' have been repeatedly thrown out, the firm rejected Google's settlement offer. Not only did Oracle say the offer was too low, it added, "Oracle cannot agree to unilaterally give up its rights, on appeal and in this court, to seek full redress for Google's unlawful conduct."

Oracle might later look back and wish it had taken this offer. The court's damages expert for this case has tentatively valued both of Oracle's patents combined as worth only about $800,000.

Judge William Alsup said the parties have until 13 April to reach a settlement before trial. µ