Redmond is making a fortune by selling its Android patents

Nov 7, 2013 23:16 GMT  ·  By

Microsoft is making approximately $2 billion (€1.5 billion) every year by doing nothing thanks to its Android patent royalties.

Companies that want to use some of the patents owned by Microsoft on Android devices pay a fortune to the Redmond giant, Nick Sherlund, Nomura analyst, was quoted as saying by Business Insider.

At the same time, Microsoft is making approximately $5 (€3.7) for each Android device sold around the world, as approximately 70 percent of the devices currently on the market are said to be using its own patents.

Microsoft has signed Android patent license agreements with several large companies, including HTC, Acer, ViewSonic, Samsung, LG, and Barnes & Noble.

Microsoft hasn’t yet released a comment on this, but the company is clearly pleased with the way it generates revenues with its Android patents, especially because more device manufacturers are likely to be looking to sign deals with the Redmond giant.