A Texas jury ruled against Google in the Linux patent suit and order the Web search giant to pay $5 million in damages to patent-holder Bedrock Computer Technologies.

The controversial code is at the core of Google’s servers and the Android- the open source operating system widely used by a number of tech firms.

The verdict could have far-reaching implications, especially on Google’s Android partners.

The Texas-based Bedrock Computer Technologies has also sued many other tech firms, including Yahoo, Amazon, MySpace, Match. com, AOL and PayPal.

All the companies that have been using the controversial code will now have to agree to pay royalties if the patent holder knocks on their doors.

Commenting on the ruling, intellectual property activist Florian Mueller said, “This is definitely a major impediment to the growth of Linux and makes companies, including Google, that rely on open source code particularly vulnerable to patent threats."

Meanwhile, hearing on a high-profile patent battle between Oracle and Google is expected to take place before November this year. Software giant Oracle claims that Google's Android platform infringes on its Java patents.