Takeaway: If you are in the business of software development, it is important to realize what features of a programming language are actually open source and what licenses you are required to obtain before selling your software to the public.

Oracle and Google have had a long battle regarding Oracle's Java programming language that Google used to create the basis for their Android mobile platform. This week the Federal Circuit reversed a trial court decision and ruled in Oracle's favor.

The main legal issue in this dispute was whether Google's use of Oracle's Java programming language in the Android platform was considered to be fair use. The court found Google's use of Oracle's APIs and Java programming language to be commercial, which weighs against fair use. Google argued that the software code in question was functional, as opposed to being expressive. That argument was also rejected by the court because ruling that software code is functional would fly in the face of 40 years of precedent that says software is copyrightable.

With that said, the factor the Federal Circuit relied on the most on was the effect on the potential market for the copyrighted work. The court stated that "[t]he fact that Oracle had not yet developed a smartphone platform is likewise irrelevant as a matter of law because, as Oracle submits, a market potential is a potential market even where the copyright owner has no immediate plans to enter it or is unsuccessful in doing so." Here, the court decided that Oracle intended to license Java SE in smartphones and there was no evidence on the record to support any contrary conclusion.

These factors on fair use of the software were considered by the court "in light of the purposes of copyright law." The court reasoned that "Google could have furthered copyright's goals of promoting creative expression and innovation by developing its own APIs, or by licensing Oracle's APIs for use in developing a new platform, it chose to copy Oracle's creative efforts instead."

This case points out that as a software developer, it is important to consider restrictions attached to the use of a programming language. If you are using APIs from another company, it is necessary to make sure to have a license if you are going to use your software for a commercial purpose.

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