10.04.14

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Corporate Media Repeats Microsoft Propaganda About Patents by Claiming Microsoft Makes Billions From Android

Posted in Microsoft, Patents, Samsung at 4:39 am by Dr. Roy Schestowitz

Summary: Microsoft is spreading the myth that Android is not free (and is in fact very expensive) while its staff and boosters continue to deceive the public in other ways

ANYTHING that is repeated often enough, especially by seemingly credible news networks, may in turn be treated as truth without much further scrutiny. Microsoft is an expert at doing that. We gave dozens of examples over the years. This is sometimes known as “reality distortion”.

Claims about Microsoft profit from Android are overstated and often reliant on just a single person (with Microsoft ties) along with folks who repeat his claims (usually Microsoft boosters). Even some FOSS-friendly sites like Muktware got bamboozled, whereupon we explained to them that this is just another divide-and-rule approach, much like Novell’s. Microsoft wants the industry to believe that GNU/Linux (or Android) is not free and that any company that sells devices with GNU/Linux will be punished severely by Microsoft. Behind the NDAs and behind the illegal extortion there is often lots of smoke but not fire. Microsoft may charge a few cents for something like FAT patents and then issue a face-saving press release (imposed on the victim) to pretend there was some massive patent deal that taxes “Linux”. For “Android” it’s usually something like Microsoft Exchange (ActiveSync). We spoke about this with OIN’s CEO, so we say this based on a professional opinion from one whose livelihood depends on it and one who knows what happens ‘behind the scenes’, so to speak.

“Microsoft may charge a few cents for something like FAT patents and then issue a face-saving press release (imposed on the victim) to pretend there was some massive patent deal that taxes “Linux”.”Yesterday we found an ugly piece that’s basically a Microsoft propaganda piece. It’s basically propaganda from Microsoft’s ‘former’ chief patent counsel. The crudest pro-software patents site (IAM) quotes the biggest patent troll in the world, Microsoft (by extension), as saying that “US has not come close to abandoning software patents”. That’s a straw man; nobody said that the USPTO (or the US) is “abandoning software patents”. It just gradually cuts down, both at the examination level and at the court level. Evidence of this is very extensive. It just seems like Microsoft is afraid of losing its last remaining ‘product’: patent racketeering.

There is currently an ugly whisper campaign in the corporate media. It claims that Samsung paid Microsoft a billion dollars for Android. It’s simply untrue. Thankfully, Swapnil Bhartiya has already written a strong rebuttal. He says that “some news outfits are projecting it as if Samsung paid Microsoft $1 billion solely for Android patents. Some headlines go like these – “Lawsuit reveals Samsung paid Microsoft $1 billion a year for Android patents” or “Samsung paid Microsoft $1 billion in Android patent-licensing royalties in 2013″. These claims start and end with the headlines, you won’t find a single mention of ‘Samsung paying Microsoft $1 billion for Android patents’ in any of those stories.

“Organizations like BloomBerg and ReCode are refraining from such misleading headlines. The court filing is available publicly which you can read on Scribd. Microsoft says in the document that Samsung paid Microsoft $1 billion in second financial year of their patent deal. From what I understand that is *the* total amount Samsung paid Microsoft under the deal. What we don’t know is what all is covered in these patents. The court document doesn’t specifically says that ‘Samsung paid Microsoft $1 billion for Android patents.’

“I didn’t find a single sentence making such a claim. Please correct me if I am wrong, I would appreciate that.”

Bhartiya correctly dubs this a “PR stunt” and he explains why: “It seems to be nothing more than a PR stunt. Every-time someone creates such a headline, Microsoft scores a PR point. Microsoft drops the keywords Android, Chrome and Linux every-time it signs a deal with a company even if the deal is about using ancient technologies such as FAT 32 in devices running Linux.

“We never heard of any other deal between the two companies (Samsung and Microsoft) so it can be logically concluded that the deal also covers the use of Microsoft technologies in non-Android or non-Chrome devices such as point-and-shoot cameras, DSLRs, music players, photo-frames, BD/DVD players, TV sets and dozen of other things that Samsung sells.

“Those crisp $1 billion bills are not just for the Android powered devices, right? Samsung does a lot of thing, in 2013 the company raked in over $54.95 billion in revenues. Only half of that revenue came from the IT and mobile division.”

Finally, adds Bhartiya: “It’s not a one way traffic. Microsoft also pays Samsung annual royalty for using Samsung’s patented technologies and this amount it credited against the amount Samsung pays to Microsoft.”

Yes, this is an old trick. Microsoft still uses it to flood the press with lies (or half-truths), which its booster are just too happy to spread. It’s like a tumbleweed of lies and it gathers momentum. Soon enough the lies become the equivalent of a reality; it’s an attempt to induce surrender. It’s an attempt at self-fulfilling prophecies. The time seemed right for Microsoft because it fights with Samsung in the courtroom. Microsoft knows it might lose and the defendant is the biggest possible target because Samsung sells the lion’s share of Android-powered phones.

The Microsoft booster Gavin Clarke is meanwhile warning that trolls may try to attack OpenStack. He uses OIN as a source:

A group established to shield Linux from patent trolls has warned OpenStack will be the next big target for intellectual property hoarders.

The Open Invention Network (OIN) reckons the open-source cloud is ripe for the plucking by trolls, who would easily be able to box off and claim core technologies as their own.

That would see developers and customers using OpenStack forced to hand over fistfuls of cash in royalties – following either cases or, more likely, closed-door deals that avoid the expense of court.

This may be a legitimised concern, but Clarke does not name Microsoft’s own behaviour. By these standards, Microsoft too is a troll, not just by proxy. In fact, Microsoft is perhaps the biggest threat here.

As a side note, Techrights is under DDOS attack )since yesterday). The attacks are all coming from Windows NT (various versions) machines and they are hammering on the site, sometimes to the point where the site is no longer available. This seems to have spread from Tux Machines, so these attacks are clearly personal. This was done to us also 5 years ago (see the report “Burying the truth? Boycott Novell hit by Denial of Service attack”).

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