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View Full Version : Microsoft wants Samsung to pay it $15 for each Android handset


FeralKitty
07-06-2011, 04:31 PM
From TNW (http://thenextweb.com/microsoft/2011/07/06/microsoft-wants-samsung-to-pay-it-15-for-each-android-handset/):

Microsoft is reportedly pressuring Samsung to enter a patent licensing agreement where the Korean-based vendor would pay $15 for each Android smartphone it makes, Reuters reports (http://www.reuters.com/article/2011/07/06/us-samsung-microsoft-idUSTRE7651DB20110706?feedType=RSS&feedName=technologyNews&dlvrit=56505).

Samsung is reportedly looking to lower the payment to $10 per handset in exchange for an alliance which would have the company benefit from the creation of new Windows Phone devices. If agreed, the deal would see Samsung not only join rivals HTC in an agreement, but would also add to the four smaller vendors (http://thenextweb.com/microsoft/2011/07/05/microsoft-picks-up-yet-another-android-patent-deal/) which signed deals with Microsoft in the space of nine days

Microsoft has leveraged its intellectual property rights in recent weeks, utilising its IP licensing program to extend rights to smartphone vendors. The Redmond-based company has entered into over 700 licensing agreements, helping the company profit directly from rival platforms.

Samsung may successfully negotiate a lower fee with Microsoft as it has existing ties with the company, having produced Windows Phone handsets from launch.

Read more... (http://thenextweb.com/microsoft/2011/07/06/microsoft-wants-samsung-to-pay-it-15-for-each-android-handset/)

FeralKitty
07-06-2011, 04:52 PM
Microsoft's smartphone market share (http://www.comscore.com/Press_Events/Press_Releases/2011/7/comScore_Reports_May_2011_U.S._Mobile_Subscriber_M arket_Share) has dropped 25% from February, leaving it in a distant 4th behind Google, Apple, and RIM.

Windows Phone must be in dire straits, when Microsoft has to pressure companies to create new Windows Phone devices.

Also, HTC is only paying Microsoft $5 for each Android smartphone. Is Samsung utilizing more of Microsoft's IP, or is Microsoft simply getting greedy?