Patent Wars

Microsoft To Make Money off Android Phones Sales?

Microsoft have announced it has signed a patent agreement with HTC, licensing its intellectual property to HTC. Microsoft will now receive royalties from HTC phones running the Android operating system.

“HTC and Microsoft have a long history of technical and commercial collaboration, and today’s agreement is an example of how industry leaders can reach commercial arrangements that address intellectual property,” said Horacio Gutierrez, corporate vice president and deputy general counsel of Intellectual Property and Licensing at Microsoft. “We are pleased to continue our collaboration with HTC.”

Sylvie Barak of RCRWireless has stated that the patent agreement, amounts to HTC admitting that a Microsoft intellectual property license is a requirement for selling their phones, which is bad news for other companies producing Android-based phones.

“In an ironic twist, it looks like Microsoft might be able to make money on every Android handset sold, while Google, which makes the operating system, won't make a penny from it,” theories Barak.

Jessica Thornsby

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