Okay Geek Farm
Microsoft makes 5X more profit off Android than Windows Phone
Brandon Davenport
Windows Phone hasn’t been doing so hot, and Microsoft knows it but aren’t really acknowledging the fact they need to try harder, and build a healthy ecosystem for developers and users. Windows Phone 7 itself is a fantastic OS, but it fails to overcome the immense new-found success of Android and Apple’s iPhone, so instead of living off meager profits from Windows Phone, Microsoft has begun snatching money from Android.
Breaking down the profits (quoted from Asymco)
- Microsoft gets $5 for every HTC phone running Android, according to Citi analyst Walter Pritchard, who released a big report on Microsoft this morning.
- Microsoft is getting that money thanks to a patent settlement with HTC over intellectual property infringement.
- Microsoft is suing other Android phone makers, and it’s looking for $7.50 to $12.50 per device, says Pritchard.
Let’s digest this for a second — Microsoft is actually making more money off Android than their own mobile OS, and it’s all because of patents. But we all know that’s not good enough for Microsoft, so they are looking to snatch even more money from Android handset makers so they can call themselves “successful” in the mobile space.
Microsoft is hurting innovation
Think about it, Microsoft has failed in the mobile space multiple times and Windows Phone hasn’t exactly been a smash hit. Instead of getting creative and working hard on developing something better than Android and Apple, Microsoft is simply latching onto other’s hard work simply because they own some patents that Android has “infringed” upon.
Apperently, it’s more profitable to patent things than to create things — and this is why the patent system is broken. It’s allowing bloated companies to stifle the creativity of competition without so much as lifting a finger. This is how innovation in the tech industry dies, and we need to stop large companies from hurting the light and nimble groups and innovators that are shaping our future.
