Microsoft Corp. will facilitate cloud customers fend off patent lawsuits and expand coverage of connected proceeding prices, seeking to distinguish its services from rivals within the fast-growing marketplace for internet-based computing.
As more corporations host their applications and services on Microsoft’s Azure and different cloud suppliers, they are more and more changing into the target of lawsuits from corporations seeking to form cash by claiming infringement.
Microsoft, the second-biggest cloud infrastructure services vendor behind Amazon.com Inc., will facilitate customers fight back by providing them one of its own patents to discourage or defeat such suits. The software large can conjointly expand a program within which Microsoft provides funds or legal resources to avoid claims, known as indemnification.
As IT spending within the cloud is about to succeed in $1 trillion by 2020, according to Gartner, the industry faces growing risks of intellectual property lawsuits. Such suits have risen twenty two p.c in the past 5 years, according to the Boston Consulting cluster. Meanwhile non-practicing entities — the industry’s term for corporations that snap up patents to garner licensing fees and launch lawsuits — boosted their acquisition of such patents by thirty five p.c within the same amount.
The patent program is new to Microsoft and hasn’t really been tried within the business additional broadly speaking, according to Smith. Customers will be able to decide one patent from a pool of ten,000 offered — Microsoft has 60,000 patents total — to use in their defense. Microsoft is hoping that the mere existence of the offer can deter suits in the initial place.
Originally published at Bloomberg