Motorola's bid to ban Xbox 360 sales in the US due to a patent dispute has failed, after a judge ruled that the the patents in question were critical to industry standards. Federal Judge James Robart found that Motorola's patents must offer fair, reasonable, and non-discriminatory licenses. Because of that, he ruled that a console ban could not be imposed.

Read more: Licensing fee amount all that remains »

Microsoft has rejected a settlement offer from Motorola in an ongoing Xbox 360 patent suit. The offer would have Motorola take 2.25% of royalties on every 360 sold. Microsoft balked at the proposal, saying the royalties would be well above market rates and that the settlement doesn't account for Motorola's own infringements.

Read more: Microsoft counsel says offer not in good faith »