Google/Motorola offer H.264 patent settlement; Microsoft chuckles | ZDNet (click for full article) "Patent suits and related injunctions and import bans are running rampant among mobile device OEMs and software vendors. Google's Motorola unit is at the heart of several and, in particular, is embroiled in a suit and countersuit with Microsoft over Motorola's H.264 video standard and ActiveSync, respectively. Yesterday, Motorola made a new settlement offer to Microsoft, modifying its demands over the video codec and seeking to prevent an injunction from going into effect next month that would prevent Android phones manufactured by Motorola from entering the country. Needless to say, Microsoft rejected the settlement. As Businessweek reported, Microsoft "asked if the offer was serious." At issue is the use of the H.264 video standard (around which Motorola, and therefore Google, holds several patents) in PCs and XBox game consoles. This same issue resulted in an injunction in Germany early last month that would have prevented the sale of Windows 7 and XBox game consoles in the country if a US court had not blocked it. Motorola maintains that Microsoft included the patents in the products without permission or appropriate licensing and was originally asking for nearly $4 billion annually in royalties."