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This is the most sensible commentary I've seen yet. Fits the "America is pretty much screwed" articles making the rounds these days. It's actually pretty damned depressing that $20 billion dollars was spent on a legal game rather than awesome R&D.


The money's not gone, it's mostly just transferred from one party to another -- in this case, from Google to Motorola's shareholders. Of course, many man-hours are wasted in the legal wrangles, but it certainly doesn't add up to $20 billion dollars of lost productivity.


You can say that about practically any transfer payment. The cost of a transfer payment is opportunity cost. If Google invested 20 billion dollars in R&D, we'd have 20 billion dollars of R&D done in addition to someone, somewhere, having that 20 billion dollars to spend again.


Google bought a lot more than just patents.


The worst thing is that Google is now invested in the problem by $20 billion more than it was previously. The more invested U.S. companies become in patents, the more difficult it becomes to make change.


$20 billion? Did I miss a vital piece of news?


$12.5 billions for Moto, $4.5 billions for Nortel, that's actually more like 17 billions.




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