AfterDawn: Tech news

Microsoft's extortion continues as company inks another Android licensing deal

Written by Andre Yoskowitz (Google+) @ 12 Jan 2012 20:36 User comments (11)

Microsoft's extortion continues as company inks another Android licensing deal Microsoft continues to force Android makers to pay up, and the company is now bragging that it owns 70 percent of the Android market.
Thanks to a rock solid patent portfolio, Microsoft has spent the last two years negotiating licensing deals with Android and Chrome OS makers, forcing them to pay Microsoft a piece every time a device sells. Like with other deals, the terms were not disclosed.

Says Microsoft: "We are pleased to have built upon our longstanding relationship with LG to reach a mutually beneficial agreement. Together with our ten previous agreements with Android and Chrome OS device manufacturers, including HTC, Samsung and Acer, this agreement with LG means that more than seventy percent of all Android smartphones sold in the U.S. are now receiving coverage under Microsoft's patent portfolio. We are proud of the continued success of our program in resolving the IP issues surrounding Android and Chrome OS."

To make the move even more smug, prominent Microsoft execs began gloating on Twitter after the deal was announced (via Verge):

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11 user comments

113.1.2012 7:01

"Thanks to a rock solid patent portfolio"

......means that, however much you hate Microsoft, it is not "extortion".

If they own the rights they they have the right to a royalty - and the big companies involved - like LG,Samsung, Acer, HTC etc - could either refuse singly and go to court over it or jointly stand against Microsoft.

The fact is not one of them has because the Microsoft case is plainly too strong.

Some people might not like that and talk about "extortion" and "patent trolling" but those are the facts.

Yes sometimes big companies bully the little guy (and like most modern large corporations that is in Microsoft's history too) but making out that poor little LG, Samsung & the rest are feeble innocents unable to stand up to the nasty bully is just absurd.

213.1.2012 8:41

"the company is now bragging that it owns 70 percent of the Android market"
Get your facts straight! Microsoft is not saying that they own 70 percent, only that they have licensing income from 70 percent of the android phones out there. At least they are licensing their IP instead of suing the competitor to stop inovation like Apple is doing with Samsung. From what I've read MS gets 5 dollars for every phone. Not extortion as the phones are sold for 400 to 700 dollars to the carriers who subsidize them for the public.

313.1.2012 11:45

You know just when I thought I was up on all this crap, I get lost in the mire... I thought Google was the instigator of the Android which is the basis of the operating system on all the Android phones. Obviously, Microsoft phones are their own product & if you crawl in the crusty sheets of that bed, so be it.

Where did I lose it in translation that MS had anything to do with Android phones at all? I must have been in the hospital those few news days & missed it. Did Google borrow some money or something?

That's what I get for mixing the greens with the yellows...


413.1.2012 14:50

Originally posted by Interestx:
"Thanks to a rock solid patent portfolio"

......means that, however much you hate Microsoft, it is not "extortion".

If they own the rights they they have the right to a royalty - and the big companies involved - like LG,Samsung, Acer, HTC etc - could either refuse singly and go to court over it or jointly stand against Microsoft.

The fact is not one of them has because the Microsoft case is plainly too strong.

Some people might not like that and talk about "extortion" and "patent trolling" but those are the facts.

Yes sometimes big companies bully the little guy (and like most modern large corporations that is in Microsoft's history too) but making out that poor little LG, Samsung & the rest are feeble innocents unable to stand up to the nasty bully is just absurd.
How true, well put.

513.1.2012 16:24

well wtf my android , have ms sync , ms word, dial-up on windows , one cd wiht n appliactions for ms ?

613.1.2012 16:45

Originally posted by sergiomb:
well wtf my android , have ms sync , ms word, dial-up on windows , one cd wiht n appliactions for ms ?
That's what I was thinking/saying...?

713.1.2012 20:27

Originally posted by Interestx:
"Thanks to a rock solid patent portfolio"

......means that, however much you hate Microsoft, it is not "extortion".

If they own the rights they they have the right to a royalty - and the big companies involved - like LG,Samsung, Acer, HTC etc - could either refuse singly and go to court over it or jointly stand against Microsoft.

The fact is not one of them has because the Microsoft case is plainly too strong.

Some people might not like that and talk about "extortion" and "patent trolling" but those are the facts.

Yes sometimes big companies bully the little guy (and like most modern large corporations that is in Microsoft's history too) but making out that poor little LG, Samsung & the rest are feeble innocents unable to stand up to the nasty bully is just absurd.
It depends on what the patent is, I know microsoft have a patent in regards to using a 2 button device to allow a user to do stuff on a UI.

The overall problem is that Google say they produce a 100% free and open OS, the reality though is that if you make a device that uses a Google OS then expect to be paying other people for the privilege of using that OS.

So when you think about it, should MS be perusing these companies for money at all.

So far Google haven't jumped in and said hey you can't do X because your patent doesn't cover X so you can't ask for money from our OS.

that's the real problem.

After a while all these extra costs will be making android phone far more expensive than they really should be.

And I do think if MS is going to ask for cash from Android phone makers they should drop their own phone OS while they are at it.

813.1.2012 21:08

If MS has a patient and owns the rights they can expect whatever they want, it has nothing to do with someone else's open OS or whatever.

Plus you say that they should drop royalties on patients or if not drop their own phone OS venture, why that doesn't even start to make sense. Again it is theirs to do with as they wish. If they wish to make money and allow others to use THEIR technology at a price so be it and why in the world wouldn't they want to also use it to make money on their own products?

Please...


914.1.2012 1:23
llongtheD
Inactive

Originally posted by LordRuss:
You know just when I thought I was up on all this crap, I get lost in the mire... I thought Google was the instigator of the Android which is the basis of the operating system on all the Android phones. Obviously, Microsoft phones are their own product & if you crawl in the crusty sheets of that bed, so be it.

Where did I lose it in translation that MS had anything to do with Android phones at all? I must have been in the hospital those few news days & missed it. Did Google borrow some money or something?

That's what I get for mixing the greens with the yellows...
You didn't lose anything Russ. Like most of these big electronics/software companies Microshaft has been on a patent buying spree for sometime now. They're simply using their patents to force (negotiate) deals with competitors. These corporations have found a nice little loophole around that whole nasty "monopoly" thing. They buy up patents by the thousands and then force negotiations. Google, Samsung, Apple, Microsoft, etc...they're all playing the same game.

All for the good of the consumer, of course...

We probably hear more about it coming from Crapple because they use their giant block of patents, purchased or developed, to sue and block competing products instead of negotiating.
This message has been edited since its posting. Latest edit was made on 14 Jan 2012 @ 1:33

1014.1.2012 6:23

I think MS is burning the candle on both ends and very soon they gonna get a bite in the a** ....This could happen as soon Google close the deal with Moto (Google = 27K patents and MS = 22K patents)
Just my 2 cents.

This message has been edited since its posting. Latest edit was made on 14 Jan 2012 @ 6:24

Live Free or Die.
The rule above all the rules is: Survive !
Capitalism: Funnel most of the $$$ to the already rich.

1114.1.2012 13:55

Originally posted by llongtheD:
They're simply using their patents to force (negotiate) deals with competitors. These corporations have found a nice little loophole around that whole nasty "monopoly" thing. They buy up patents by the thousands and then force negotiations. Google, Samsung, Apple, Microsoft, etc...they're all playing the same game.
OOOoooooooh...? Kinda like this "friends with benefits"? Back in the day we just called them 'f*k buddies' & called it a day. Of course the caca hits the fan when someone thinks they have sole claim over the johnson (patents in this case) & then all hell breaks loose.

Now that these jokers have crawled in & out of each others beds & haven't washed the sheets in a while the funks has gotten so rank no body want to touch anything including their own junk (literally). So they want to sue each other for a living instead of working for a living.

Go figure.

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