Bonum Certa Men Certa

Microsoft's Android Extortion Gets Price Tags

Using software patents, Microsoft turns Linux into its own cash cow whilst also making it more expensive

Case with dollars



Summary: Techrights' fight against 'Linux tax' from Microsoft is getting a lot more attention this Friday

"BOYCOTT NOVELL" was all about stopping Microsoft tax on GNU/Linux. More people are beginning to wake us and realise that our cause was all along on target, as several distributions of GNU/Linux which paid Microsoft for this 'privilege' simply went extinct (Xandros' price was $50 for Microsoft patents). Our goal was to ensure that people/companies do not become dependent on Microsoft-taxed distributions, as that would simply serve Microsoft's goal of making GNU/Linux its own cash cow. SUSE, Turbolinux, and Linspire were also part of this problem and all those companies went into the ashtray of history. There are more such companies, but they sell hardware, not purely software.



Everyone appears to have just 'discovered' that "HTC Pays Microsoft $5 Per Android Phone" and there is already a lot of coverage about it. Quoting The Register:

Buy an HTC smartphone and $5 of what you spent on it goes to Microsoft - even if you've just bought an Android device.

So says Citi analyst Walter Pritchard in a note sent out to investors today, according to Business Insider.

Microsoft announced the royalty payment deal - the result of a legal settlement - last year, but the amount the software giant receives was not made public. MS has alleged Android infringes its intellectual property, and has other smartphone vendors in its sights.

Pritchard reckons Microsoft is pursuing other Android handset makers for a royalty of $7.50-12.50 per device. HTC clearly got of relatively lightly by settling Microsoft's claims out of court.

[...]

Microsoft can't be too forceful. If can't afford to overly annoy those vendors who're also selling phones based on its Windows Phone OS - they might just drop it, in a huff. Or they may trade lower royalties for a stronger commitment to WinPho - something Microsoft needs far more than even a few hundreds of millions of dollars in royalty payments.


Saumsung, LG, and Kyocera Mita also pay Microsoft for Android. There might be more such companies, perhaps not prominent ones though. Faced with a price tag, people act surprised about it even though our site has highlighted this issue since 2007 when Samsung signed the first such deal and in order to discourage similar deals we called for a boycott. The bottom line is, we do have a problem here, but it is not a new problem. We even found one anti-Linux propagandist writing: "This is just fraud. I really like HTC phones with their Sense interface but I have a Galaxy S II on order and I will not buy any HTC phone again while they give in to Microsoft's blackmail."

According to other news from today, Lodsys wants to go after Android developers. "Patent holding company Lodsys caused a stir recently when it demanded money from iOS developers using in-app payments," says this report, "something it holds a patent for. Now it appears that Android developers could be next in line for a stern email from the firm.

"Android Community has spotted one developer who is claiming to have received a request for payment in relation to integrating in-app payments into an Android app. If true, it could stir up another hornet’s nest of anger in the development community."

"Saumsung, LG, and Kyocera Mita also pay Microsoft for Android."This is actually not news and we alluded to it before. Apple, unlike Google, is a patent aggressor, so it is not the same situation for Android and Apple's hypeOS. Interestingly enough, Microsoft's ally Nokia is also giving a hard time to Apple. How long before Microsoft uses Nokia to sue Android distributors too? Nokia has given hints about it. Microsoft's strategy is to tax Linux from as many directions as possible. It's blackmail [1, 2, 3, 4, 5, 6, 7], so regulators should step in to intervene.

“That’s extortion and we should call it what it is. To say, as Ballmer did, that there is undisclosed balance sheet liability, that’s just extortion and we should refuse to get drawn into that game.”

--Mark Shuttleworth



Recent Techrights' Posts

Links 29/12/2025: Putin Critic Sergei Udaltsov Imprisoned, Cloudflare’s Outages Discussed
Links for the day
LLMs Are Inherently Parasitic, We Need to Treat Them Accordingly
a maintenance burden for those who possess actual intelligence
Links 29/12/2025: Bottled Water Considered Harmful, Cheetos Promoting Nazis in Europe
Links for the day
EPO People Power - Part XVIII - European Patent Office "Paints Itself as Progressive While Literally Being Represented by Cokeheads"
To what length/s will German authorities and media (not just in Germany) go to protect the EPO's "precious image"?
What IBM Will Do to Red Hat in the Coming Year or Years
This won't end up well for GNU/Linux as a whole
Not Turning in His Grave: When People Die, Their Corporate Destruction Becomes a "Turnaround"
All he did was mass layoffs - a tradition that has not ended since then
Over at Tux Machines...
GNU/Linux news for the past day
IRC Proceedings: Sunday, December 28, 2025
IRC logs for Sunday, December 28, 2025
Louis Gerstner Has Died, His Legacy of Mass Layoffs at IBM Hasn't
Hagiographies will follow. They will say he "saved" IBM.
Links 29/12/2025: The Sunday Routine, Limits of Memory, and Gemini Vocabulary
Links for the day
Doxing is Illegal in the UK (Even If You're Based in the US)
Somebody has just added my identity (name, mugshot etc.) to a "hitlist" site of a political nature, pandering to violent people
Misunderstood Weapons of Censorship
It's cruel world out there. One needs to be aware of these shady activities, including "censorship-as-a-service".
Google Confidently Wrong, Nowadays Defaming People Too
I can relate as people did this to me and to my wife
What Happens When Americans Are Out of Office (Away From Work) for a Week? Vista 11 "Share" Falls to Just 10%.
How's that for slow adoption?
2026 Will Have EPO Focus, People Will See What the EPO is Trying to Hide
We certainly hope people will be held accountable
EPO People Power - Part XVII - Drugged, Stoned, and Drunk at the Office During Working Hours (Campinos Friend and Propaganda Chief Has Long Done This)
It's a total disgrace that press all over Europe is still trying to cover this up!
Gemini Links 28/12/2025: Health Ordeals and Discontinued Pedals
Links for the day
Slop About "Linux" Came Only From One Slopfarm This Weekend
Another day has passed with no LLM slop found in our RSS feeds
Links 28/12/2025: 'Digital Detox' and Slop "Backlash Grew Massively in 2025"
Links for the day
Links 28/12/2025: "Mass Quitting Apple" and "Generative AI Industry is Fraudulent, Immoral and Dangerous"
Links for the day
Links 28/12/2025: Fascination, Holidays, and Mormonism
Links for the day
Microsoft's Weapon Against the Reality of XBox (the Console) Dying Seems to be LLM Slop
XBox is dead/dying
Raffles for the Immaterial: Unauthorised Bingo for Red Hat "Vouchers"
This is IBM and some slop images
Andy Farnell on Standing Up Against Technological Oppression
some portions from it
Over at Tux Machines...
GNU/Linux news for the past day
IRC Proceedings: Saturday, December 27, 2025
IRC logs for Saturday, December 27, 2025
Once Again, GAFAM Deletes All Your Data, Only Corrects This After Millions of People Lead an Uproar Online ("Richard Stallman Warned Us About This")
No lessons learned, eh?
Linus Torvalds Blasts Software Freedom Conservancy (SFC) for Attempting to 'Protect' Linux
Like it 'protects' women
New Record for GNU/Linux in Australia (at Microsoft's Expense)
Windows is at an all-time low, GNU/Linux... all-time high
Fighting Over Whose Pockets Are Deeper (or Who Borrows More Money)
When processes favour those who are more wealthy (or more willing to go into infinite debt or steal money of other people) those processes match the attributes of lawfare rather than law
You Know Your Critics Are Jealous and Have Inferiority Complex When...
One day we'll write about all this in great depth
Starting a Book With a Flawed Premise or Weak Hypothesis
To me, Schneier is a sort of "RMS of sec"
Microsoft's Mass Layoffs (30,000+ in 2025) Not About "AI", Just Business Failure
"AI" is replacing... the old excuses for mass layoffs
"But Corruption is Everywhere"
"We'll always have Polio..."
EPO People Power - Part XVI - Berenguer Does Not Speak German, So What Did He Tell German Police That Busted Him?
based in Germany and does not speak the language
Challenges for EPO Insiders to Try to Tackle in 2026
Nothing will get solved as long as the circus that runs this show tries to keep the circus going
Days Without Slop About "Linux"
It's time to move on
Links 27/12/2025: Canada Post Strike Called Off, Debate About Europeans "Working Over Christmas"
Links for the day
Gemini Links 27/12/2025: Household Appliances and Flight Fright
Links for the day
Links 27/12/2025: US Cracking Down on Whistleblowers, Expanding Bombardment Campaigns Worldwide
Links for the day
Resuming EPO Coverage Today, Can António Campinos 'Survive' Cocainegate?
We said we'd continue in the weekend
Links 27/12/2025: More Attacks on Media (Meduza Co-founder Sentenced to Prison in Absentia), "What Owning Music Means To Me"
Links for the day
Gemini Links 27/12/2025: geminiprotocol.net Downtime and Capsular Gemlog Manager
Links for the day
Over at Tux Machines...
GNU/Linux news for the past day
IRC Proceedings: Friday, December 26, 2025
IRC logs for Friday, December 26, 2025