Microsoft Nets An Easy $2 Billion Every Year From Android Patents

Microsoft Nets An Easy $2 Billion Every Year From Android Patents

Microsoft may be many things, but the company has a knack for research in its very DNA. Although primarily a software and services firm, Redmond regularly finds a place among the top five patent winner every year, in the company of other large titans like IBM and Samsung.

Long story short — it pays to research, own and then license patents.

According to a new report over at Business Insider, Microsoft now gets no less than $2 billion every year from Android, all thanks to the impressive patents portfolio it owns. In fact, the Android patent royalties have steadily increased with each passing year.

Nick Sherlund, a Nomura analyst reveals that many of these patents bring in a fortune to Redmond, as there is a large list of companies that use the technologies owned and patented by Microsoft.

In terms of pure numbers, Microsoft makes around $5 for each Android device sold around the world.

Around 70 percent of the devices on the market now are said to be using Microsoft patents, and the company has sign deals with several large vendors including Samsung, LG, Barnes & Noble, HTC, Acer, ViewSonic, among others.

No comment from Microsoft on these figures, but the technology titan occasionally provides some handy details on its patent licensing whenever it signs up a new Android vendor.

  • Mike Greenway

    “Microsoft may be many things” what are you implying with these words?
    The author of the report is quoting another person that is estimating (and inferring) without any solid number shown. You sucked me in with this headline and I fell into your ads trap, but now I associate my disappointment with the product, the Nexus 7. That is just how it works.