Bloomberg reports an odd-sounding partnership is about to take place-- Apple and Google are teaming up to buy Kodak's patents out of bankruptcy.
"People familiar with the situation" say the two companies offer over $500 million for the 1100-strong patent portfolio. Apparently the two smartphone competitors had already led two separate groups to buy at least some patents, before decided to go all out... and join forces.
The patents cover the capture, manipulation and sharing of digital images.
According to Bloomberg sources the Apple-led group included Microsoft and Intellectual Ventures Management, while Google counted "a number" of Asian Android smartphone makers and patent aggregation company RPX Corp in its ranks. Separately, the two groups offered less than $500m for the precious Kodak patents.
Now the two groups realise unity makes strength, if of a financial variety.
Kodak depends on earning a healthy sum of cash for the patents if it wants to exit bankruptcy, something it plans to do by H1 2013. According to patent advisory 284 Partners the Kodak patents might be worth anything from $2.21 to $2.57 billion.
Unusual partnerships are not rare in the world of patent purchases. Back in 2011 Apple, Microsoft and RIM teamed up to purchase over 6000 patents (worth $4.5bn) from a bankrupt Nortel. Such team ups not only reduce costs, but also help eliminate potential infringement litigation.
Go Apple-Google Team Up for $500 Million-Plus Kodak Patents Bid
