AOL has struck a mammoth deal to sell Microsoft more than 800 patents for $1.06 billion in cash, the companies announced today. That will leave AOL with a little more than 300 patents of its own related to search, advertising, and social networking, among other things, but it will also have a "perpetual license" for the patents it's selling, according to The Next Web.
AOL stock shot up 37% on news of the deal, according to Reuters, which makes sense, given that the company is promising that a "significant portion of the sale proceeds" will go to shareholders. AOL has been trying to auction off its patent portfolio for at least a month, in part thanks to mounting pressure from Starboard Value, a major shareholder that has expressed concern over AOL's management. (Read more AOL stories.)