Linked by Thom Holwerda on Thu 7th Nov 2013 10:04 UTC, submitted by mbpark

Microsoft is generating $2 billion per year in revenue from Android patent royalties, says Nomura analyst Rick Sherlund in a new note on the company.

He estimates that the Android revenue has a 95% margin, so it's pretty much all profit.

This money, says Sherlund, helps Microsoft hide the fact that its mobile and Xbox groups are burning serious cash.

Microsoft has not written a single line of Android code, yet rakes in the profits through scummy software patents. Crime does pay.

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That is because techies know how trivial those patents are. Non techies think it is really difficult to 'invent' bounce back scrolling.

I don't know how techies who don't even know what patents we are talking about (in this case as nobody actually know hat patents are involved in the MS deal) could decide whether the patent is valid.

Moreover, in order to be valid, a patent do not have to be difficult to invent. The velcro was not difficult to invent: it was just a very smart idea.

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