MOUNTAIN VIEW (dpa-AFX) - Google Inc. (GOOG) has acquired a batch of technology patents from International Business Machines Corp. (IBM) to bolster its portfolio and also to protect itself from patent litigation, according to media reports on Friday.
Google has reportedly acquired 1,030 patents from IBM in mid-July. The patents acquired by Google are said to cover a broad range of technologies, including fabrication and architecture of memory and microprocessor chips, server and router design, and software programming such as relational databases and object oriented programming.
Google faces patent lawsuits for many of its services, including its Android mobile-device operating system. Several mobile companies have sued Android partners for patent infringement and Google itself faces a patent lawsuit from Oracle Corp. (ORCL) over Java.
Google currently has nearly $40 billion in cash, giving it the flexibility to make purchases. However, Google was outbid in early July, when a coalition of companies that include Apple Inc. (AAPL), Microsoft Corp. (MSFT), Research In Motion (RIM, RIM.TO) and Sony Corp. (SNE), agreed to buy a portfolio of over 6,000 patents owned by Canadian telecommunications equipment maker Nortel Networks Corp. (NRTLQ.PK), for $4.5 billion.
In April, Google Inc. (GOOG) initiated a stalking horse bid for the assets with a $900 million offer. The Nortel patents cover a host of technologies ranging from data networking to wireless 4G now being deployed and known as LTE, and such applications as Internet search and social networking.
Meanwhile, Google has also reportedly held preliminary talks with InterDigital, Inc. (IDCC) about a possible acquisition. Pennsylvania-based Interdigital, which develops fundamental wireless technologies that are at the core of mobile devices, networks, and services worldwide, said earlier this month that it has initiated a process to explore potential strategic options, which may include a sale or other transaction.
InterDigital on Tuesday filed a patent infringement suit against Nokia Corp. (NOK), ZTE and Huawei earlier this week, alleging that certain 3G wireless devices that were imported into the U.S. by the respondents infringed seven of InterDigital's U.S. patents.
In Friday's trading, GOOG is trading at $612.55, up $1.61 or 0.26 percent on a volume of 1.13 million shares.
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