Samsung will pay Microsoft royalties for smartphones and tablets running Android. A cross-licensing deal reach between the two companies was announced Wednesday morning. And while that means both companies will receive "broad coverage for each [other's] products," Microsoft's also going to be getting money in the deal. As for how much money per device? That wasn't disclosed.

Here's the official word:

REDMOND, Wash — Sept. 28, 2011 — 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. “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. “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.”

This is just the latest licensing deal involving Microsoft and Android device manufacturers. Acer and Viewsonic reached deals earlier this month, and HTC already had one in place.

No matter how broken the current patent system may be, this is still the way it's done, folks. And while it might not be the one you hoped for, it's certainly better than lawsuit after lawsuit, no?

Source: Microsoft


Reader comments

Microsoft, Samsung reach licensing deal over Android smartphones, tablets


I wouldn't be surprised if Microsoft makes more in licensing than they will with their Windows Phones.

Making any money form licensing is more than what they make from selling wp7. simply cuz they arent selling any wp7.

That is already the case. There was an article on Network World (and likely other sites) about it a few weeks ago. I'd go find an example but your internet is just as good as mine I suspect.

it was reported a while back that microsoft have been making more money off android than there own wp7...the more successful android is the better it is for amicrosoft

does anyone know exactly what Microsoft is pinning these companies on? If it were the Android OS, they would sue Google but instead they are going after the handset makers which tells me it must be a hardware patent.

It's probably just Fat32, or something similar, since all android devices emulate Fat32 devices when you plug them into a pc. In honeycomb 3.2 NTFS is also supported.

Somebody needs to find a way to force the parties to reveal exactly which patents are licensed.

None of which would be an issue if Microsoft would make Windows compatible with anything besides itself. What manufacturer would need to emulate FAT32 if MS would build in EXT support? It would also make the whole apps2sd thing that much easier.

You can't lay that baby at Microsoft's door. From their perspective, Fat predates the earliest EXT by 20 years.

There is no reason Android has to use Fat32 for microSD storage, they just chose to do so.

Regardless of what the internal storage spec is, you can a emulate Fat32 device at the USB port, even if the internal storage is ext3/ext4, or reiserfs or what-ever.

Further, Android could placed installable device drivers on the USB port (like so many devices do these days) to provide direct support of ext/ext3 and never had to use Fat32 at all.

Ext2/3 support is available for windows, just not directly from MS. Google it.

Business is business....poor Microsoft is jealous of Android just like Apple. They all need to come to some type of an agreement though and get to innovating. Hell, they're all billionaires anyway. I came to android from being a loyal blackberry junkie, but RIM was moving too slow with all the latest and greatest technology. Thumbs up to Google and to my new Android family worldwide.

The point all these cross-licensing make is just that Apple is the common enemy.

the sooner Apple comes to its senses, the better it will be for its business.

The point (from Microsoft's perspective) is to be able to declare Linux in violation and use all these secret agreements as evidence in court. But they will enjoy the money in the meantime.

The announcement [i]does[/i] say it's a cross-licensing deal, which means Samsung is also licensing some of their patents to Msft. It's a two-way deal, so Msft isn't really gouging Samsung. It's just not transparent as to what Samsung is getting out of it.

Which makes sense, since Msft relies on Samsung to push their WP7 devices.

These days Microsoft seems way more reasonable than Apple. For some reason I don't mind Android OEM paying a few bucks to Microsoft for either licensing or cross-licensing, but I would absolutely hate Apple making a single penny off Android.

Such a sophisticated statement. /s
I don't like the way they've been acting of late. It's one thing to ask for a fee for each device sold, another to ask for complete ban across different continents.

Stay classy.

Intel has done this to amd and screwed them over a couple of times, unfortunately it slows down the advancement of tech. I avoid Microsoft and Apple because they are more interesteded in money than progress. Google is the better of the three at this moment in time.

might be so(intel,amd part) but thats not as wors as how intel screws over their customers. today i enlichten some one that amd does have actual cores than intel.

she thought a quadcore was a dual core with 2 extra virtual core's(like the intel cpu's) though when amd says quad,dual or 6core. it actually is hardware and not virtual.
something she didnt even know.
and most intel customers also dont know(like the intel 8 core) that its not what it says.
for example the 8 core doesnt really have 8 cores.

Quadcore intels ARE really quad core. Either way, even if they weren't they are still faster than anything AMD have.

With shenanigans like this, No wonder nothing can get done in America. Then again, the GOP strong arm Americans into thinking they have the solutions, except the turn to war when in office and further fatten the pockets of the rich..

Microsoft is getting "royalties" off Android based systems? What the Fuck..

Samsung is being bent over. How can Microsoft justify receiving royalties off a product (Android) they do NOT own.

@ JD MBA - I have a problem with it. Microsoft shouldn't make money from strong arming Samsung to give them royalties from a competitors OS.. . I doubt Coca-Cola works this way with Pepsi.

I am sick of CrApple and Microsoft.. Microsoft's phone OS sucks ass. They should stick making Windows 8 better and sink CrApples OS into oblivion. Crapple is focusing too much on the phones..

The justify it because Android uses Microsoft IP, support for FAT32.

This isnt a concept, or a 'design' (like Apples patent attacks have been about), this is a real thing, real code.

take your liberal speaking points out of this.

if anyone is "strong arming" anything its obama and his democrats which have destroyed the economy in this country and have killed the worth of the dollar.
scandal after scandal,
from operation fast and furious, to the solar company solyndra which is real close to obama and pelosi, give it up already.

facts over weight the nonsense you keep spouting.

heres a news flash for you, THE RICH pay pretty much ALL of the taxes.
the tax rate for the rich is huge, and you wonder why every corporation that even supported obama is scared of making moves here in the US.

Microsoft is playing Google's game, but they have old money and the the experience to back it up.
It would seem that Micro is trying to corner the market on having a universal OS on all types of equipment.

The difference here is that Microsoft have a point, they ARE using FAT32, so do require a license. Apple also pay MS for FAT32, just so you know..

I think the bigger issue is that something a stupid as FAT32 isn't *deserving* of license agreements. Software patents are SCREWED UP. If they exist at all, it should certainly be for a very SHORT time period, and FAT32 is *ancient*.