Expert: Regulators "slow to catch up" to Microsoft patent bullying

According to Barnes and Noble, Microsoft claims to have over 60,000 patents. Fewer than 20,000 of those were granted by the patent office; Microsoft presumably purchased the other 40,000 from other firms. The result is one of the world's largest "patent thickets." Microsoft has so many patents that it's difficult to build a software product as complex as a mobile operating system without infringing dozens, maybe even hundreds, of them.

And Microsoft is taking full advantage of that fact, approaching each Android-based phone manufacturer in turn and demanding stiff licensing fees—fees that are allegedly at least as high as the fees Microsoft charges for its own Windows Phone 7 operating system. Microsoft has also been cagey about identifying the specific patents allegedly infringed by Android vendors. Some observers (including me) have characterized the process as a shakedown.

So does Microsoft's conduct run afoul of antitrust law? Michael Carrier, an antitrust scholar at Rutgers-Camden, is skeptical. "I'm concerned by a lot of this conduct," he said, but antitrust law has "limited tools" to deal with it. And antitrust regulators tend to be slow to adapt to changing market circumstances.

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