Facebook's massive patent purchase from Microsoft: 4 theories

In another blockbuster deal, the social network has agreed to pay Microsoft $550 million for hundreds of licenses once owned by AOL. Here, clues as to why

Facebook founder Mark Zuckerberg may be putting his company on the defense by buying hundreds of Microsoft patents.
(Image credit: Rick Friedman/Corbis )

Facebook, which surpassed 900 million monthly active users on Monday, will pay Microsoft $550 million for access to a number of unspecified patents that Microsoft acquired earlier this month from AOL. Per the agreement, Microsoft — a Facebook shareholder — will give the social network complete control of 650 of the patents, while giving Mark Zuckerberg's company a special license to use the remaining 275 (which will still be owned by Microsoft). Facebook has been on a buying spree as of late, and in late March struck an $83 million deal with IBM for more than 700 patents. Why is the Silicon Valley powerhouse now turning to Microsoft's portfolio? Here, four theories:

1. It's a defensive maneuver

Subscribe to The Week

Escape your echo chamber. Get the facts behind the news, plus analysis from multiple perspectives.

SUBSCRIBE & SAVE
https://cdn.mos.cms.futurecdn.net/flexiimages/jacafc5zvs1692883516.jpg

Sign up for The Week's Free Newsletters

From our morning news briefing to a weekly Good News Newsletter, get the best of The Week delivered directly to your inbox.

From our morning news briefing to a weekly Good News Newsletter, get the best of The Week delivered directly to your inbox.

Sign up