WASHINGTON (AP) - Google Inc. plans to bid $900 million in cash
for Nortel Networks' patent portfolio in a bankruptcy auction
scheduled for June.
Nortel, the Canadian maker of telecommunications equipment and
computer networking gear, has selected Google's offer as the
"stalking horse bid" to serve as the starting point in the bidding process.
Ontario-based Nortel has been selling its operations piece by piece since it filed for bankruptcy protection in Canada and the U.S. in January 2009. Its patent portfolio includes about 6,000 patents and patent applications spanning a broad range of technology, including wireless, data networking and semiconductors.
Google said it hopes Nortel's patent portfolio will discourage other companies from suing it, and help it continue to innovate in the absence of broad reform of the U.S. patent system.
(Copyright 2011 by The Associated Press. All Rights Reserved.)