Google: Hey startups, want in on our patent gang? First hit's free

Google is looking to recruit 50 startups to participate in its patent licensing network.

The Mountain View ad giant said its Patent Starter Program would offer startups free Google Patents as well as the ability to view Google's entire portfolio with the option of acquiring further patents.

In exchange, the startups will be asked to join Google's License on Transfer (LOT) Network. The patent-sharing network – whose members include DropBox, RedHat, and Pandora – maintains an agreement where any member selling patents to an outside entity will grant licenses to all other network members. Fees for the first two years of membership will be covered by Google (yes, you do have to pay to be in this club.)

This, in turn, would prevent a patent troll company from scooping up patents from one company and using them to sue others for infringement.

To be effective, the LOT Network relies on having as many companies join the agreement as possible. This is where Google's free patent promotion comes into play.

"Under the LOT Agreement, every company that participates grants a license to the other participants where the license becomes effective only when patents are transferred to non­participants," Google said (PDF).

"The bigger the network gets, the more protection the membership gets against future attacks from patent trolls."

To enter the program, startups must have 2014 revenues between $500,000 and $20,000,000.

There are a number of sticking points to the deal, however. Any startup selected for the program must stay within the LOT Network or forfeit the rights to the Google patents they receive. Companies are also restricted to using the patents only for defensive purposes, not as the basis to sue others for infringement. The startups will be responsible for any maintenance costs associated with the patents they receive.

Google notes that the agreement contains additional "fine print," and startups should speak with a lawyer before they decide whether to enter. ®