Both the US Department of Justice (DOJ) and the European Union have given a green light to Google's acquisition of Motorola Mobility. For Google, which has been hitting heavy weather of late, approval of the Google-Motorola deal is a welcome sight of blue skies ahead. However, the approvals were based specifically on findings that the merger would not substantially affect the smartphone market.

Left unsettled is a broader issue facing the entire tech industry. The use and abuse of patents has come to the fore of late as a key issue in technology and law. Some firms stand accused of buying up patents for the sole purpose of extracting cash from other companies. The end result of such practices may be the hindering of technology innovation.

Double Go-Ahead

The last few weeks have been an low period for Google. Questions have been raised about the long-term viability of its Google+ strategy. Changes in its privacy policy have left online wags commenting that the company has decided to be evil after all. That made any other Google news good news.

As reported at InfoWorld, the DOJ approval for the Google-Motorola deal came hours after a similar approval by the European Union (also reported at InfoWorld). Further approvals from China, Israel, and Taiwan will be needed before the acquisition can be carried through. But with the highest hurdles overcome, Google is now confident that the deal can be closed early this year.

The most important consequence of the acquisition will be to give Google control of some 17,000 patents relating to smartphones. Among these are "standard-essential" patents, which are needed for smartphones to operate according to industry standards for mobile devices. Because of their critical nature, these patents must be available for licensing by third parties on a "fair, reasonable, and nondiscriminatory" (FRAND) basis.

The US DOJ also cleared Apple, Microsoft, and RIM to purchase patents from Nortel Networks, along with an Apple bid for Novell patents.

Patent Wars Continue

The last year saw growing disquiet within the tech community regarding the use and abuse of patents, especially in respect to software. Several firms have been accused of buying up patents not to use the technology they embody but only to legally blackmail other firms. In response, some tech observers have questioned the standards under which patents are granted.

The implications of these developing patent wars touch practically every company making active use of technology. Even if firms are not developing their own technology, they may rely on platforms that could draw them into patent wars.

Approval of the Google-Motorola deal is good news for Google. But it may also be a leading hint that regulators are not inclined to let patent issues lead to a stagnation of tech industry innovations.

This post was written as part of the IBM for Midsize Business program, which provides midsize businesses with the tools, expertise and solutions they need to become engines of a smarter planet.