Google Offers Oracle A Small Cut of Android Revenues; Oracle Refuses

Oracle’s patent infringement lawsuit against Google has gone from being outrageous in terms of the money demanded, to being boring in just a few months.

It had initially demanded more than $6 billion from Google, claiming that Google infringed on its Java IP in Android. Following a scolding from the presiding judge, Oracle lowered its damages claims to $2 billion, and finally brought it down to under $100 million last week.

This week, Google apparently offered Oracle a flat fee for past damages for the two patents in contention – $2.8 million. It also offered a cut of future Android revenues, until the patents expire. For one patent which expires in 2012, it offered a 0.5% cut of Android related revenues. For another which expires in 2018, it offered a 0.015% cut of Android revenues.

It also stated that if Oracle were to accept these conditions, it wouldn’t fight Oracle on damages, once it proved infringement of those patents, presumably to speed up the trial process.

However, Oracle, understandably, has rejected the offer. Its cost of litigation alone would be a multiple of the settlement Google is offering. It’s almost insulting for it to accept a few million considering its original demand of more than $6 billion.

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