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

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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PieterGen
Member since:
2012-01-13

Can someone please post a link to an article/ analysis that says how much money MS receives for 'Android patents'? I'd also linke to know what these patents are about.

I'm asking this because as far as I know Microsoft only gets money from companies that sell Android-stuff AND Microsoft-stuff or are in "cross licensing deals". Those companies pay one big invoice, and Microsoft says that it is for Android - for whatever reason, possibly to spread FUD in the market.

One of the few companies that only sold Android but no Windows, was Barnes & Nobles. When the received an "Android patents claim" from Microsoft they immediately started a lawsuit. Soon after the (very weak) patents were disclosed, Microsoft ended this embarassement by simply buying Barnes & Noble..... Problem solved.

The only "patent" that might have some value is the xFATx patent. Still doubtful, because there is prior art.

Anyways, could you guys name me ONE company that does not sell Microsoft stuff and is not in "cross licensing deals", but that pays Android patent money to Microsoft?


I'm doubtful because 1)if the patents were strong, why not disclose them? 2)they have never been tested in court 3)MS didn't contribute to Android 4) how likely is it that a company that 's been struggling for years with it's own mobile OS, would hold patents for a different (but highly successful) OS?

Suppose General Motors was struggling to develop a good electric engine & battery management - how likely would it be that they had essential patents in these fields, and forced Toyota, Nissan and Tesla to pay for it? Very unlikely, I'd say. Hey MS, if you're so good at mobile Operating Systems, how come your own OS sucks so hard?

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