Wednesday, April 3, 2013

Vringo Requests Court to Increase Royalty against Google + AOL

Vringo Requests Court to Increase Royalty Rate to Be Paid by Google, AOL | Fox Business: "Vringo Requests Court to Increase Royalty "

Ouch. The royalty rates on AdWords by Google & ads by AOL could really get expensive.

Google has kept a competitive advantage because of their bid-to-ad technology. That's where they have historically made most of their money.

The computation formula would be based on 20.9% of Googles adword revenue as the base. And 3.5% of that... That is only 0.7315%. So less than 1% of Google's AdWords. Still lots of millions.

This looks like it will start to get expensive for them and AOL to keep using the technology owned by Vringo. Huge winnings already in place but aiming for a 7% royalty going forward.

Wow. This could get to be interesting.

Keywords: patent, Vringo, Google, AOL, AdWord, willful, infringe, court

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