Microsoft accused Android of patent infringement, licenses HTC to use it

April 28, 2010 | By Surur

In an interesting and frankly bizarre move, Microsoft has signed a patent agreement with HTC that provides broad coverage under Microsoft’s patent portfolio for HTC’s mobile phones running the Android mobile platform.

Horacio Gutierrez, corporate vice president and deputy general counsel of Intellectual Property and Licensing at Microsoft told CNET Android infringes on several Microsoft user interface and other patents, and it was Microsoft’s responsibility to ensure "competitors do not free ride on our innovations."

“HTC and Microsoft have a long history of technical and commercial collaboration, and today’s agreement is an example of how industry leaders can reach commercial arrangements that address intellectual property,” said Horacio Gutierrez, corporate vice president and deputy general counsel of Intellectual Property and Licensing at Microsoft. “We are pleased to continue our collaboration with HTC.”

HTC is currently under attack from various sources for patent infringement, but the highest profile case has been Apple’s attempt to block HTC from importing its phones into USA. Most of Apple’s claims have been based on the Android software running in most of HTC’s devices.

Under the agreement Microsoft will receive royalty payments from HTC. Microsoft has also said it has been in talks with other phone makers, but will likely find it a harder sell as companies like Samsung and Motorola likely hold extensive defensive patent portfolios which makes them less vulnerable to such an approach.

Some analysts however feel that more than mere exploitation of HTC may be afoot, with the Microsoft patent deal possibly providing some protection to HTC from Apple’s overtures.

"Google is really unable to protect HTC because they don’t have any portfolio of patents in this area," said Ken Dulaney, Gartner Research Analyst. Microsoft, by contrast, has a broad portfolio and a patent cross-licensing deal with Apple.

It’s not clear to what degree, if any, the Microsoft agreement will help HTC in its battle against Apple. However, Dulaney said that is the key battle for HTC.

"If this doesn’t in some way help HTC against Apple, frankly, I don’t think they gain much," Dulaney said.

Does Microsoft’s decision make sense to our readers? Let us know your thoughts below.

Via MSMobiles.com

About Surur

Site Admin and Windows Phone enthusiast, he has been using Windows Mobile devices since before they were called PocketPC’s. He is currently sporting a HTC 7 Trophy.

Tagged htc, microsoft, patent, patents

efjay

MS is planning a version of messenger that WM users will never see. No, this decision makes no sense to me, why indirectly help your competitor google by protecting HTC? First they kill WM, now they are trying to nake sure WP7 is stilborn, another GREAT move by MS!
Chris

This has to help HTC. I certainly hope it does and that Apple get told to get stuffed.
GP007

Help your competitor? Right, by taking a slice of their cake for yourself you mean? It seems you haven't fully understood things. MS now gets a piece of every Android based HTC phone sold just like if it were a WM phone in a sense. They're gaining more than anything, and if they sign these deals with others then they'll be laughing all the way to the bank.

This doesn't mess with WP7 at all, and if anything is a big slap in the face to Google.
http://intensedebate.com/people/l3v5y l3v5y

It also means that HTC will still be around to produce WP7 devices.

Microsoft don't normally do stupid license agreements, and this one is likely to make them a nice pot of money!

It may also make Apple lose out a bit, which I suspect is quite high in Microsofts list of priorities!
SaltyDawg

I wonder how much the fee is? For example, is it the same amount that MS charges HTC to put Windows Mobile on a device? Does this actually get rid of Android's cost advantage when compared to Windows Mobile?
efjay

To me it helps HTC, who produce android phones, which is a competitor to Windows Phone devices. MS may make money from the licensing but if they protect one of their competitors biggest OEM's how does that help WP7, when HTC seems to be favouring android over WM? Just as with WM, when they licenced away some of WM's biggest differentiators, activesync to practically anyone, and Office Mobile to Nokia, MS seem to be less concerned with getting behind their own mobile OS and giving it as many competitive edges as they can than with raking in money from any quarter they can no matter the cost to their mobile OS.

You dont see apple giving away or licensing their best tech, do you?
http://intensedebate.com/people/Lennard Lennard

I went to sleep woke up and read the news and was like "WTF?"
GP007

Because Apple is a hardware seller not a software seller, they're model is different to MS who makes it's money from licensing.
Chris

Your concern is brand loyalty, MS's concern and likewise the concern of their investors is making money. MS knew that it couldn't make Windows Mobile in any way a competitive platform against the iPhone, so instead they decided to take on a slice of the iPhone cash cow pie by effectively implementing a couple of lines of their code into every iPhone sold. Makes sense from a monetary standpoint.