05.27.11

Microsoft’s Android Extortion Gets Price Tags

Posted in GNU/Linux, Kyocera Mita, LG, Linspire, Microsoft, Patents, Samsung, SLES/SLED, Xandros at 11:17 pm by Dr. Roy Schestowitz

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

Share in other sites/networks: These icons link to social bookmarking sites where readers can share and discover new web pages.
  • Reddit
  • email

This post is also available in Gemini over at:

gemini://gemini.techrights.org/2011/05/27/linux-swpats-own-cash/

If you liked this post, consider subscribing to the RSS feed or join us now at the IRC channels.

Pages that cross-reference this one

What Else is New


  1. [Meme] Bundestagate Series Spoiler

    The chain of command/s at the EPO typically leads to major tragedy



  2. Breaking News: Campinos to Appear Before the Legals Affairs Committee of the European Parliament on Monday 12 April

    "Some MEPs have been briefed about ongoing governance deficits at the EPO, in particular the lack of GDPR compliance and the sell-out of "digital sovereignty" to Microsoft, but it remains to be seen whether or not they will dare to bring these issues up during the hearing."



  3. Pro-FSF Petition (“An Open Letter in Support of Richard Matthew Stallman Being Reinstated by the Free Software Foundation”) Tops 6,200 Signatures

    Monopolies and their media, along with their NGOs, have spoken and incited based on falsehoods; people now respond so the hate letter has a real crisis



  4. Links 10/4/2021: osbuild 28, KDE Frameworks 5.81.0

    Links for the day



  5. EPOLeaks on Misleading the Bundestag -- Part 12: A Worthy Successor to His Mentor?

    We examine the role of Christoph Ernst in EPO management, both in the Benoît Battistelli era and the António Campinos era (plenty to hide)



  6. USPTO for Monopolies, Keeping GNU/Linux in the Dark

    Growing evidence of gross discrimination against GNU/Linux (or Free software, even BSD/UNIX) users at the USPTO is too hard to ignore; some people out there challenge the Office over this travesty



  7. Accessibility and Availability First

    To make Techrights more widely accessible and more difficult to block/censor we've been making further changes, including self-hosting where possible



  8. Self-Hosting Videos With Free Formats and Animated Previews, Watermarks/Logos and Translucency

    We examine the power of video editing with ffmpeg, chained with command-line scripting and HTML5 features



  9. Links 10/4/2021: Linux on M1, Wine 6.6, ClamAV 0.103.2

    Links for the day



  10. Lunduke: On Mob Justice in the Tech Industry

    A new video from the former Microsofter who fears the phenomenon that’s adopted by companies like IBM



  11. IRC Proceedings: Friday, April 09, 2021

    IRC logs for Friday, April 09, 2021



  12. EPOLeaks on Misleading the Bundestag — Appendix (Benoît Battistelli's Vichy Syndrome): Georges Henri Léon Battistelli and Charles Robert Battistelli

    Local copies with evidence of or something concrete about Benoît Battistelli’s connection to unsavoury — and by today’s standards outright fascistic — politics



  13. IBM Doubles Down on Masters Being an Acceptable Word in the Context of Technology

    3 days after this post which disproves IBM's stance or shows its double standards it once again says “Masters” in its official blog (won’t that offend and alienate some people as they insist?)



  14. Hate Letter Against Richard Matthew Stallman (RMS) Backfired So Spectacularly That Signers Asked to Revoke Their Own Signatures and the List Was Then Frozen Permanently (Updated)

    "An open letter in support of Richard Matthew Stallman being reinstated by the Free Software Foundation" tops 6,100 signatures (graph generated just moments ago)



  15. EPOLeaks on Misleading the Bundestag -- Part 11: The BMJV's Tweedledee: Dr Christoph Ernst

    The right-hand man of António Campinos plays a role similar to that of Herr Lutz before him



  16. Links 9/4/2021: Tanglet 1.6.0 and HPVM 1.0

    Links for the day



  17. The Libel Against Richard Stallman Did Not Age Well

    Almost 2 years down the line libel about the founder of the FSF remains online, uncorrected (in sites funded by Microsoft and IBM)



  18. The Letter in Support of the FSF and Richard Stallman is Backed by the International Community, Not American Monopolies and Nationalistic Elements

    Free software is for everybody to use, internationally, it is not the asset of a bunch of current and old monopolists (connected to the US military) that also control the media; the nature of the signatures says that out loud



  19. Gemini Over IPFS (Decentralised Web, Accessed Over Gemini Protocol)

    The Gemini protocol (gemini://) can already be used to fetch (at the back end) and present objects from a P2P-like network; we're currently exploring practical use cases and possibilities



  20. News Sites That Talk About Patents Have Become Shameless Self-Promotion 'Plugs' by Law Firms (and Sometimes Outright 'Spam' for Litigation)

    The sources of news about patent affairs have dried up; sites that actually used to investigate and report facts have since then shut down or defected to the Public Relations/marketing industry



  21. Links 9/4/2021: Kubernetes 1.21 and FFmpeg 4.4 Released

    Links for the day



  22. IRC Proceedings: Thursday, April 08, 2021

    IRC logs for Thursday, April 08, 2021



  23. [Meme] Self-styled Judges

    To suit a recurring theme at the EPO we hereby present Roland Lutz, a self-styled judge



  24. EPOLeaks on Misleading the Bundestag -- Part 10: A Faithful Lapdog Despised and Reviled by EPO Staff

    "In any event, the "Nazi" jibes directed against Lutz seem to have triggered Battistelli who decided to take revenge on his perceived enemies inside the EPO by smearing them as “Nazis”."



  25. Links 8/4/2021: GnuPG 2.3.0, Xen 4.15, Xfdashboard 0.9.2

    Links for the day



  26. The Hate Letter Which Backfired

    The FSF is more closely aligned with its founder's vision, his antagonists have left or are leaving, and that old hate letter turned out to be a loud minority (made to appear louder by biased media) emboldened by a gish gallop of lies



  27. IRC Proceedings: Wednesday, April 07, 2021

    IRC logs for Wednesday, April 07, 2021



  28. IBM: We Can Say It... You Cannot

    Blog posts such as this new one help show the hypocrisy or the double standards of IBM, looking to control speech while attacking people's (software) freedom/civil liberties and profiting from atomic bombs



  29. The Collapse of Microsoft Windows

    Although the corporate media keeps insisting that Microsoft is doing well, government (or military) bailouts keep the company afloat while its desperate attempts to remain relevant (as the common carrier languishes) merit a debate



  30. Links 8/4/2021: Mesa 21.0.2, GNU Releases, and Stable Kernels

    Links for the day


RSS 64x64RSS Feed: subscribe to the RSS feed for regular updates

Home iconSite Wiki: You can improve this site by helping the extension of the site's content

Home iconSite Home: Background about the site and some key features in the front page

Chat iconIRC Channel: Come and chat with us in real time

Recent Posts