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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I mostly agree with all your points but I don't see why they should apply only to software patents and not "hardware" patents.

The Velcro is a good example, because it is a hardware patent which is just a smart idea that mimics nature. On the other side, software patents may be actually very clever and complex algorithms requiring a lot of research (for example compression algorithms or audio/video codecs).

So my point is not that all software patents should be granted, but that some are actually more patentable than many obvious hardware patents.

The "software patents are Evil" thing is thus mostly a dogmatic point-of-view for me from people considering that "software are just maths" which is not more correct than saying hardware is just physics.

I am myself a software engineer, designer and solution architect and I know that engineering a clever piece of software cannot be summarized as a mathematical equation.

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Alfman Member since:


"I mostly agree with all your points but I don't see why they should apply only to software patents and not 'hardware' patents."

I focus on software because that's my domain. I don't know if the economics behind patents makes more sense on physical inventions, but I think it would be silly of me as a software developer to tell a chemist (for example) what is best for their industry. I'd be in favor of letting each industry choose what's best for itself.

Reply Parent Score: 3