Microsoft has rejected a proposed settlement offer from Motorola in the pairs legal dispute over patents.
Currently Motorola has won the right to block Xbox 360 sales in Germany (pending U.S trail), while the legal threat could also potentially mean that the system will not be able to ship in the US either.
According to CVG, Motorola’s first offer asked for a 2.25 per cent royalty on every Xbox 360 sale and a 50 cent levy on each copy of Windows sold. This would obviously equal a lot of money, which is something Microsoft would prefer not to part with.
The current situation is that the International Trade Commission has to decide whether to uphold the original ban (depending on President Obama’s say so) or to stand or to force amendments to that judgement.