Microsoft has rejected an offer by Google's Motorola Mobility to settle patent disputes that could ban sales of Xbox 360 into the United States. Microsoft is demanding royalties from Motorola on some of its own video and wireless technology used in Microsoft's Xbox game console and the Windows operating system.

According to Bloomberg, Motorola has offered to pay Microsoft 33 cents for each Android phone using Microsoft's ActiveSync software in dispute, and asked for a royalty of 2.25 percent on each Xbox and 50 cents per copy of Windows for using its patents.

Last month the International Trade Commission recommended an import ban on infringing Android devices and Xbox consoles unless the patent issues were settled.

The trade commission is expected to review the decision and issue a statement in August.