A new company is being formed, dubbed "Open Invention Network", which will share Linux patents without charging for royalties. The company is being comprised of IBM, Sony Corp., Philips N.V. and Linux distributors Red Hat Inc. and Novell Inc., and plans to acquire Linux-related patents and share them royalty-free.

These companies are doing this because "impediments to collaboration on the Linux operating system seriously jeopardize innovation," said Jerry Rosenthal, the newly appointed OIN CEO.