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

The "Alicante Mafia" - Part XIV - The EPO Vice-President Steve Rowan and the Hidden Alicante Connection is a Big Deal
We'll soon take a closer look at Ernst
Links 27/01/2026: Japan-China Feud Escalates Again, "Iran's Internet Blackout Persists"
Links for the day
The "Alicante Mafia" - Part XIII - Is EPO Vice-President Steve Rowan in Cahoots With the "Alicante Mafia"?
that deserves much media attention, political intervention, and condemnation
“Wikilaundering” Explained
"London PR firm rewrites Wikipedia for governments and billionaires"
 
Gemini Links 28/01/2026: Particle and AirMIDI
Links for the day
Amandine Jambert (EDPB/CNIL/FSFE), motive for lying, trust in blockchain and encryption
Reprinted with permission from Daniel Pocock
Over at Tux Machines...
GNU/Linux news for the past day
IRC Proceedings: Tuesday, January 27, 2026
IRC logs for Tuesday, January 27, 2026
Expect More XBox Layoffs Shortly
As expected
Online 'Gathering' Held Today to Organise Industrial Actions in EPO, Strikes Will be Starting Shortly
"Online Extraordinary General Meeting on Action Plan"
It's Not About What You Know, It's About Who You Know (and Stay Quiet About the Cocaine)
This is not an organisation that exists to ensure laws are followed
FOSDEM 2026: democracy panel: FSFE uses women as stooges, gerrymander
Reprinted with permission from Daniel Pocock
Must Use Proprietary JavaScript to Submit Feedback to the European Commission About Moving From GAFAM to Free Software
Nevertheless, go tell them why Software Freedom would benefit Europe's defence and economy
Distortion of the Facts About Mass Layoffs at IBM
more layoffs are ahead
Gemini Links 27/01/2026: "Waiting Isn't a Waste", Posting from Lynx, and Bookmarks
Links for the day
Links 27/01/2026: "Oracle Debt and TikTok Transition Troubles Vex the Ellison Media Empire", Richard Stallman Quoted on Copyrights
Links for the day
Steven Field (Red Hat) Speaks of "Recent Layoff" (RA/Wave) in Red Hat
IBM really doesn't like it when people talk about "RAs"
A Week Ago We Contacted the EPO's Stephen (Steve) Rowan About Cocainegate
Tomorrow we'll write some more about Rowan
IBM Reports 'Results' Tomorrow, Expect More "RAs" (Mass Layoffs)
they use words like "efficiency", "optimisation", "AI", "pivot", "modernisation" and so on
Earlier This Month Microsoft Lunduke Said in Public It Was Good That Renee Good Was Murdered, Now He Mocks or Demonises People for Saying the US is Unsafe
Don't be easily conned by demagogues
Google News and "Linux" Slop
Why won't Google be interested in tackling this issue? Instead Google has been trying to participate in this issue.
IBM Kills Red Hat in the Darkness
What IBM does to Red Hat is malicious
IBM Red Hat's Goal Is Not Real Security (It Probably Never Was)
Spies and trolls are very malicious people and sometimes they're the same thing
With Absurd Lies About Slop, Which Lacks Intelligence or Financial Potential, GAFAM and IBM Will Twist Mass Layoffs as 'Efficiency Drive' or 'AI Pivot'
More layoffs are on the way
Animal Advocacy Works
All it takes is effort and determination
EPO Strike This Week
What has happened to Europe?
Over at Tux Machines...
GNU/Linux news for the past day
IRC Proceedings: Monday, January 26, 2026
IRC logs for Monday, January 26, 2026
For the EPO to Survive, António Campinos and the "Alicante Mafia" Must Fall on Their Sword
There are EPO insiders who are convinced Campinos too is (or was) a cocaine addict
Some Slopfarms and Some Real News Sites Cover Richard Stallman’s (RMS) Talk
If his message about Software Freedom spreads, then we're all better off
Gemini Links 26/01/2026: Pocket Power Pack, Batteries, and Breaks
Links for the day
"Microsoft Vista 11 Emergency Update" as Windows Fails to Boot (Again)
Microsoft is desperately trying to find some new business model as the debt soars
4 Hours Ago The Register MS Published Paid-for Spam About "AI" (Slop, Buzzwords)
"AI" mentioned 13 times in the page
IBM 'Results' Due Wednesday Evening, Expect Clues About Mass Layoffs
Don't expect IBM to say anything about "layoffs" or "RAs"
The Fall of the EPO (or the "Alicante Mafia" at EPO) Will be Due to This Reckless Lawyer Who Does Cocaine in Public While Speaking for the EPO
The longer European politicians (and media) turn a blind eye to this corruption, the worse it'll get
Why RMS is Scary to GAFAM 'Engineers' and the GAFAM Apologists (or Addicts)
especially because of his ideas and his way of life
Firefox 'Market Share' Down to All-Time Low in 2026, Adding to It User-Hostile 'Features' Only Worsens Things
What is the goal of Mozilla at this point?
Links 26/01/2026: Windows Back Doors, American Winter Storm, and Report Says Iran's "Protest Death Toll May Exceed 30,000"
Links for the day
Life Got Simpler and Therefore Also Healthier and Happier
Some people envy not wealth but happiness (which they're unable to attain, even with hoarding and accumulation)
Richard Stallman's Experiences With 'Cancel Brigades' Ought to Educate Linus Torvalds
Now they talk about "if Linus dies" scenarios
Links 26/01/2026: Financial Stress in German Farms and Germany Wants to Take Its Gold Reserves Out of the US
Links for the day
Gemini Links 26/01/2026: "Lack of Meaningful Things" and Getting Back to Programming
Links for the day
Strong Correlation Between the Slop Ponzi Scheme (or Bubble) and Major Disasters
BitCoin ruins the planet; so does slop
We Will Never Allow the "Alicante Mafia" to Hide "Cocainegate"
transparency typically scares malicious actors
Fewer Involuntary Interruptions This Year
This year we're doing much better
Prisons Are for Dangerous People Who Pose a Threat to the Public, Not People Who Inform the Public
At the end of the week EPO workers go on strike
Microsoft Loses Grip on Indian Ocean
Many countries, including in older allies of the US (such as Canada and the US), look for ways to get out of Microsoft dependence urgently
XBox Consoles Nearly Dead by Now, the 'XBox' (ex-Box) Brand Now Stands for Something Full of Slop, Spam, Filler, and Chaff
We're seeing the last day (maybe year) of "XBox"
The Great "AI" CON Explained by Dr. Andy Farnell
LLMs are basically advertisers of sorts
Links 26/01/2026: "Journalists Detained", in Germany "Unjustly Jailed Man Gets €1.3 Million Compensation"
Links for the day
Red Hat Quietly Going Extinct After Bluewashing in 2026
At this point it would be rather foolish to assume that IBM will let Red Hat just "do its own thing" or maintain its corporate culture, identity, projects etc.
The "Alicante Mafia" - Part XII - Kris De Neef and Roberta Romano-Götsch, Who Stepped in for the Cokehead, Have No Comment on His Cocaine Usage (and the EPO's Cover-up)
Sh-t floats to the top.
Over at Tux Machines...
GNU/Linux news for the past day
IRC Proceedings: Sunday, January 25, 2026
IRC logs for Sunday, January 25, 2026
Gemini Links 26/01/2026: Cold Perception, Software Patches in NixOS, and Sunk Cost Fallacy
Links for the day