Apple offered to license patents to Samsung in 2010: $30 per smartphone, $40 per tablet

by: J. Angelo RacomaAugust 11, 2012

A screen grab from Apple presentation to Samsung claiming the Galaxy S copied the iPhone, and offering to license its design patents for $30 per smartphone and $40 per tablet.

Apple and Samsung are currently in heated debates over design patents, and is currently undergoing litigation in a California court to determine liability. But even before Apple accused Samsung of “slavishly” copying its product designs, the Cupertino, CA company said it had offered cross-licensing agreements with Samsung to the tune of $30 per smartphone and $40 per tablet in 2010.

In a testimony by Apple patent licensing director Boris Teksler last Friday, he said that then-CEO Steve Jobs and then-COO Tim Cook approached Samsung about their smartphones and tablets, and were actually surprised “how a trusted partner would build a copycat product like that.”

In an October 5, 2010 presentation to Samsung, Apple offered to charge $30 per touchscreen smartphone and $40 per tablet for the use of its design patents. Apple likewise offered a 20% discount if Samsung were to cross-license its own design and technology portfolios back to Apple.

Given sales figures during that year involving Samsung’s Android, Windows Mobile and other OS phones, Apple said Samsung would have owed it about $250 million, which is a far cry from the $2.5 billion in damages that Apple is currently seeking. You can check out a copy of the Apple presentation via the Scribd link on the source citation.

Meanwhile, testimony be Apple’s experts also brought up additional Samsung internal studies that show how the Korean company often does a feature-by-feature comparison of Apple’s products with its own, and subsequently recommending to improve its smartphones by making them more like Apple’s. In response, Samsung has repudiated these claims by criticizing Apple’s experts’ authority on the matter.

Should Samsung have just gone ahead and licensed Apple’s patents in 2010? Would this have saved everyone a lot of headache — and a lot of money — from litigation-related efforts?

  • gils001

    if samsung ever decided to do this now i would lose respect….. Unless they’re forced to do so then that is understood

  • MasterMuffin

    It’s easy to say now, but it would have been best for samsung to give the money back in 2010, because it seems that they’re loosing now :(

  • It’s hard to believe SJ and Tim went to Samsung and offer a patent deal; considerating how SJ felt about Android and all; so I think this lie was made up on the way to the courthouse by Apple atty to garner some attention.

    “I will spend my last dying breath if I need to, and I will spend every penny of Apple’s $40 billion in the bank, to right this wrong. I’m going to destroy Android, because it’s a stolen product. I’m willing to go thermonuclear war on this.”

  • If they paid for that, we would pay for that fees. I don’t want to give money to Apple by any means, just because some people want Apple products and others don’t.

  • casinrm

    What’s even more ridiculous? Apple wanted royalties for Symbian, Bada, and WP7 too. Symbian and Bada have been around forever and then Apple decides it retroactively invented their features? And WP7? WTF? Samsung already licensed the OS from MS and MS already has licenses with Apple for that OS. Apple was going insane and is trying to use this to prove that they’re reasonable. Hilarious.

  • Suprit

    What? Don’t get me wrong, am a proud owner of the SIII, And a samsung fan all together, but boy, im looking at the picture above, doesn’t that phone look just like the iPhone. I feel you apple.

    • 1) That is not an iPhone 4, as the picture is labeled. It is a distorted 3G/S
      2) The picture of the Samsung Galaxy S has also been distorted.

  • yarrellray

    I applaud Samsung for STANDING UP and not caving into any apple demands. It’s funny how apple for got who has made the internals of all it’s devices for all these years. Apple would be GARBAGE without Samsung. Bottomline here this will be settled by the jury and I can bet that apple won’t get anything near what they wanted. None of Samsung’s current products look like any iphone nor do they preform like any iphone. They are 100% better after the Galaxy S2, Galaxy Nexus, Galaxy Note and Galaxy S3 as well as the upcoming new Nexus, and Note 2 it’s pretty clear to me that apple has just gotten beat upon the head by superior products. One thing is for sure my current Galaxy S3 pimp slaps any apple product all day long…

    • marc

      samsung was CONTRACTED by apple to manufacture chips that APPLE DESIGNED for iphone, and instead of being grateful for such a multi-billion dollar contract, these thieving bastards blatantly, and illegally straight up ROB and infringe on apples LEGALLY patented technology? that’s why even if they dont pay apple the one billion, they already lost 12 billion in stock losses due to the legal beatdown. so whatever profits they made from that whack assed galaxy line, JUST WENT UP IN SMOKE! karma is a bitch! AND SO ARE THE FOLK WHO RUN SAMSUNG!!!!!!!!!!!!!

      • JohnnyV

        What ?? are you serious?? Samsung only made the CPU and RAM for Apple but Samsung didn’t assemble it.they didn’t stole any hardware technology from Apple.Samsung is known for hardware technology.Mobile phone industry of Samsung boomed because of Android OS.FYI: Most iPhone is assembled in China.

      • yarrellray

        Apple Iphones are for uneducated simpleton’s who have no knowledgeof technology piss on Apple and it’s users

        • squiddy20

          Says the “uneducated simpleton” who couldn’t even root a Galaxy Nexus after claiming to be “looking into it” for several months. -_-

  • Marvin Nakajima

    So let me get this straight Apple offered to give a 20% discount if they cross-licensed? Or to put it in monetary terms they felt the cross-licensing was only worth a ‘refund’ of $6-8 per unit?

  • Emma

    Samsung hasn’t even started with its defence yet. You do know how court cases work right?

  • AJ2449

    Are the photos accurate? Apple is notorious for distorting the dimensions in their photos, trying to win their point.

    • Tangent

      No its not. The screen on the Samsung is re-sized to be the same dimensions as the iphone. The I9000 has a 4 inch screen, whereas the Iphone only 3.5. Also, that just isnt an iPhone 4 as labelled…

  • The picture above isn’t even an iPhone4 as listed!! Apple tampering with evidence again?