Microsoft hit with $1.5 billion patent verdict
 

A federal jury in San Diego has ordered Microsoft to pay $1.5 billion to Alcatel-Lucent in a patent dispute over MP3 audio technology used in Windows.

http://news.com.com/Microsoft+hit+wi...?tag=nefd.lede

pocket change for Microsoft...

FAQ: Behind Microsoft's MP3 patent jam

What was Alcatel-Lucent's role in developing MP3?
The MP3 technology was developed in large part by people with Germany's Fraunhofer and AT&T's Bell Labs, which became part of Lucent when it was spun off in 1996. Alcatel and Lucent merged last year, becoming Alcatel-Lucent.

Didn't Microsoft already license the technology from Fraunhofer?
Microsoft did pay $16 million to license MP3-related patents from Fraunhofer, but Alcatel-Lucent is arguing that it has patented technology that was not part of Microsoft's license, a point Microsoft disputes.

http://news.com.com/FAQ+Behind+Micro...?tag=nefd.lede