Microsoft and Samsung cross-license patents; Samsung to pay Microsoft royalties for Android devices

Microsoft announced today that it has signed a definitive agreement with Samsung Electronics Co. Ltd., to cross-license the patent portfolios of both companies, providing broad coverage for each company’s products. Under the terms of the agreement, Microsoft will receive royalties for Samsung’s mobile phones and tablets running the Android mobile platform. In addition, the companies agreed to cooperate in the development and marketing of Windows Phone.

“Microsoft and Samsung see the opportunity for dramatic growth in Windows Phone and we’re investing to make that a reality,” said Andy Lees, president, Windows Phone Division, Microsoft, in the press release. “Microsoft believes in a model where all our partners can grow and profit based on our platform.”

“Through the cross-licensing of our respective patent portfolios, Samsung and Microsoft can continue to bring the latest innovations to the mobile industry,” said Dr. Won-Pyo Hong, executive vice president of global product strategy at Samsung’s mobile communication division, in the press release. “We are pleased to build upon our long history of working together to open a new chapter of collaboration beginning with our Windows Phone ‘Mango’ launch this fall.”

Source: Microsoft Corporation

MacDailyNews Take: Android just got more expensive – which, of course, is Microsoft’s goal. Make using Android cost more than licensing Windows Phone ’07 and – voila! – Microsoft starts to rapidly eat Google’s fake iPhone market share.

15 Comments

  1. Will Android devices be charged when they instal or use it or when they sell a device with it. Inventoried vs sale counts here.

    How about when RIMM does their buy 1 get 2nd FREE. If it is free, it was never paid for. Will they get charged for the 2nd Android device?

    A lot of that non Apple crap never gets paid for (just talked about).

  2. well, it makes sense, doesn’t it? samsung is working also on win mo devices so having ms as an enemy would be stupid. samsung isn’t the only one who bowed before ms and this just shows and confirms that there are problems with android and patented technology from other companies

    1. So when do they pay ORCL or did GOOG agree to indemnify them for Android claims. MSFT want get much when Android gets shut down. Not sure everyone is going to flock to WIN 7, 8, 9,10.

    2. because apple uses patents to shut down the product, MS uses patents to license them. MS is not saying Samsung can’t make phones anymore because they violated a MS patent. They are just saying Samsung has to license it. That is fine and good.

      Apple is saying that Samsung violates one of its patents, and can’t license the patent and has to stop making its product.

      MS IMO is clearly choosing the “higher” ground here…if there is such a thing in patent wars.

  3. The only problem I see with MS’s *theory* is that Windows Phone 7 needs to be an attractive option to customers or it won’t matter what kind of price hike they can pull out of Android.

    On one hand I guess its covering their bases on both sides, on the other if they can force Android into a corner they can push inferior crap on more customers as consumer choices diminish.

    Not that MS would ever push inferior crap on consumers… I mean this is the dream team that delivered block buster products like Windows ME to market so I’m confident that a world where WinPhone7 is strong is better for every man, woman and child.

  4. “Microsoft will receive royalties for Samsung’s mobile phones and tablets”

    I thought cross-licences meant that you each agree to share your equal pile of patents and not sue or pay one another. Seems Samsung’s patents weren’t worth that much after all since they have to pay MS AND licence WinPhone.

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