Microsoft Getting Richer Because of Android
“Google’s Android seems the best thing that could have happened to Microsoft’s mobile efforts, ever.” – This is according to Horace Dediu from Asymco.
Could that be possible? Yes, believe it or not, it’s indeed for real. If you can still recall, Microsoft sued HTC before for the case of intellectual property infringement. As a result, HTC has had to pay Microsoft approximately $5 for each HTC Android phone sold. Microsoft is getting richer because of this patent settlement between the two companies.
Based on what Asymco is saying, almost 30 million Android phones were already sold by HTC. 30 million is a very substantial number which has resulted in Microsoft accruing more or less $150 million from Android, albeit indirectly. This is substantially more money compared to what Microsoft has made off of Windows Phone 7. Sales are a paltry $15 million from 2 million units sold. Therefore, Microsoft makes a lot of money (and will continue to make) from Android rather than from their very own Windows Phone! Are you kidding me?
Here’s more that you need to know about Microsoft taking advantage of Android. Microsoft is not only suing HTC but also other Android phone manufacturers, including Motorola and Barnes and Noble, and they want $7.50 to $12.50 for each device sold. This will be a lot of money if things go Microsoft’s way. Good thing the legal teams of both respective companies are striking back against Microsoft.
If Microsoft is getting richer because of Android and not because of their Windows Phone 7, they might focus more on filing lawsuits against Android manufacturers rather than improving their Windows Phone. Step up Microsoft. It’s a well known fact that Microsoft has one of the best legal teams in the industry too, so we will have to see how things unfold.
Who would have thought that Microsoft makes a lot of money through Android? How ridiculous is that?
Source: Business Insider