Microsoft woos startups to its cloud services by offering defense against patent trolls

Microsoft Azure users will start seeing the Azure IP Advantage – a system that helps protect Microsoft’s customers from patent trolls.

In a clever twist to adding more value to their services, Microsoft will begin implementing a new feature for its potential Microsoft Azure customers: protection against patent trolls.

Customers of Microsoft’s cloud computing services will be getting a protection scheme of sorts called Azure IP Advantage. According to its website, it protects innovators and businesses from intellectual property “risks” when they are working through the cloud service. The protection scheme will help by deterring and defending against patent lawsuits.

Microsoft cloud service customers are protected via two ways: first, by simply using its cloud computing, the customer has access to Microsoft’s bank of 10,000 patent licenses at no extra cost. A business can use these patents to legally defend itself against these "trolls", which are non-practicing companies (who normally do not create products for the market) that use aggressive legal tactics to extort cash settlements based on various patents. Secondly, Microsoft offers a “springing license” to its users – so, in the event where Microsoft transfers patents to a patent troll (which is unlikely), the troll cannot use the said patent against them or their eligible Azure customers.

According to Reuters, the unique value-added service provided by Microsoft can be helpful for startups who lack the capital to fight lengthy, frivolous patent lawsuits, or for established businesses who are servicing their patrons outside of their main expertise (for example, legally protecting an automotive company’s mobile app).

Patent trolling is a well-established practice that plagues many tech companies, big or small. Just today, patents that were sold off by Hewlett-Packard Enterprise are currently used by its new owner to sue Cisco and Facebook, as reported by Ars Technica.

Source: Microsoft, Reuters

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