14 DAY TRIAL // Microsoft has just announced that it signed a new deal over its Android and Linux patents, this time with Japanese company Rakuten.
As usual, no financial terms have been disclosed, but we already know that all companies will pay a specific amount of money to Microsoft in order to use its Android and Linux patents on its devices. While we don’t know how much Rakuten will pay, previous figures revealed that Microsoft is making some $3 billion (€2.8 billion) with its patents every year without doing anything.
Signing this kind of deals, however, is the only way for companies to launch Android and Linux devices that use technologies patented by Microsoft, and until now Microsoft has reached agreements with well-known OEMs, including Samsung, Nikon, Canon, LG, and others.
More than 1,200 licensing agreements signed by Microsoft so far
Rakuten is obviously pleased with the fact that it managed to sign a licensing deal with Microsoft, while the Redmond-based tech giant can’t be anything but happy since it’ll make more money with its patents.
“Our agreement with Rakuten reinforces the opportunities that cross-licensing can bring to companies across the technology spectrum,” said Nick Psyhogeos, president of Microsoft Technology Licensing. “We’re pleased to have found a mutually beneficial path of collaboration that will ultimately benefit consumers.”
“This agreement gives us the freedom to bring our customers new and exciting products, while jointly recognizing the value of patented innovation,” said Akio Sugihara, managing executive officer and director of Rakuten, without clearly specifying what kind of devices his company wants to launch using Microsoft’s patents. In most of the cases, licensees use these technologies on smartphones, tablets, laptops, and cameras.
Certainly, more companies will follow soon and it’s very clear that Microsoft hit the jackpot with these Android patents, as it’s making billions of dollars every year without doing anything.