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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Imagine that years before the invention of Velcro somebody had the idea of Velcro and patented it. Somebody else really made it but now has to pay Velcro because he patented the idea.

Idea patents are stupid and bad for everybody but big established corporations. And they really don't need any extra help to make billions.

I agree, but you are talking about patent trolls here and neither Microsoft nor Apple are patent trolls because they do actually use their patents in products.

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