Bonum Certa Men Certa

Speculations That HTC Pays Apple Not Verified, Said to be Bogus, and May Only be Anti-Android FUD

Trolled!

Steve BallmerSummary: HTC says there is no financial impact to the settlement, but Microsoft boosters say that HTC pays Apple for Android; Techrights investigates what people are saying and where the claims come from

As noted in the previous post, lawyers say that HTC pays Apple per phone sold following the secret settlement and they claim to know the cost. This speculation about Apple getting a patent tax (echoed by John Koetsier in this case) has Groklaw say: "Does that sound fair to you? Sound like the US patent system is working as it should?

"Folks who argue that the US patent system works beautifully for the US economy need to think about the future, then. How beautifully will the system work when other countries make it impossible for US companies to bring new products to market in the US? Think that could never happen? Look at the Apple-Microsoft-Nokia attack on Android. Now put non-US companies in attack mode and against a US product."

Other sources seem to suggest Apple has retreated. TechDirt writes "HTC And Apple Settle Patent Dispute; Perhaps Tim Cook Realizes Patent Fights Are A Waste" and formal reports say nothing about a tax. Why? Because they do fact-checking. One Android site says:

While the specific details of the agreement are under wraps, press is being told by Jeff Grdon, representative for HTC, that HTC “does not expect this license agreement to have any adverse material impact on the financials of the company” – read as: HTC won’t break the bank in the settlement.


Right.

So no losses, correct?

Here is more speculation:

What is Google's real incentive in seeding the Android mobile OS in the global market? Is it to make money from the sale of Android-based handsets and tablets? Certainly, that's part of Google's strategy. After all, through its Motorola Mobility acquisition, Google is a player in the smartphone and tablet markets.

Recently, there have been several reports about how Apple's recent settlement with Taiwan's HTC could mean that Apple and Microsoft make more from Android going forward than Google does. Apple and HTC have a cross-licensing deal that some are saying could mean Apple collects $6 to $8 per Android phone sold. The truth is, though, that Google's real benefit from the spread of Android comes from bringing new users into its lucrative search/ad ecosystem.


Where do these numbers come from? These have not been verified. Given that Apple feels blowback (calls to boycott Apple and generally a great disdain or forced apologies that embarrass the company's culture), we might as well suspect a non-victory for Apple. One expert says:

“This settlement and their statement on Friday don’t quite jive,” says David Martin, Founder and Chief Executive of M€·CAM. “Apple is starting to look at the market consequence of their litigation strategy and realizing there may be some blow back from it.”


The Microsoft booster says that Apple gets paid (among other outrageous things), but maybe this is just propaganda. Groklaw writes in response: "Inventor of the touch screen, my foot. And by the way, isn't Apple the company claiming that if it has to pay a more or less equivalent sum for FRAND patents owned by Android vendors, it will put them out of business? And next comes Nokia, the rumors continue, trying to get HTC to pay them too, and they already pay to Microsoft. They call this royalty stacking [Mark Lemley's paper explaining it, PDF], and it's a fast way to kill off the competition, if you gang up on them this way. Meanwhile, both Apple and Microsoft are whining to regulators about royalty burdens they are threatened with if they can't devalue FRAND patents. If there are 250,000 patents that read on just one smartphone, where in the world is the profit going to come from? You can't make a phone in that environment. Instead of getting rid of software patents and/or devaluing all patents or even coming up with a reduced rate for victims of royalty stacking demands, Apple and Microsoft would like the devalue the ones they don't own, but Android vendors own, while leaving their patents at full value. That way Android can't compete in the marketplace and people will stop selling it. If by any chance you are thinking that *Apple* would never pull such a dirty trick, I direct you to their response to the UK court's order to post a notice that Samsung didn't copy Apple's design patent, which the court characterized as showing a "lack of integrity". Where are the antitrust regulators now?"

"It's all secretive, but Microsoft and Apple try to deceive the press and the regulators."But wait, does this booster (Eric Savitz) just spread his usual FUD? These are not verified claims, it could be just a scare tactic. Here is a more accurate report.

"Microsoft and Google's Motorola Mobility unit are set to square off on Tuesday at a trial with strategic implications for the smartphone patent wars and which could reveal financial information the two companies usually keep under wraps," says the Indian press. It's all secretive, but Microsoft and Apple try to deceive the press and the regulators.

We do not even know how much HTC pays Microsoft, if anything, The claims of five dollars are unverified. Here is a new example of spin in patent settlements:

In Planning Software Patent Settlement, Both Sides Claim Victory



In the wake of a settlement of a patent infringement lawsuit involving two major financial planning software products, both sides are proclaiming victory.

“We are extraordinarily happy,” said David Loeper, CEO of Wealthcare Capital Management, the plaintiff in the case. “We’re not just happy; we had a great celebration when the agreement was settled. I can understand why the other side would be too, given the liability if we had proceeded with litigation.”


This is what the Apple-HTC settlement might have been like. It is possible that HTC pays nobody for Android. It's speculation. When Microsoft signed a patent deal with Novell, for example, Novell was actually bribed, not charged. It was all for FUD. They create fear, uncertainty, and doubt.

Update: hours after I had drafted this post I found this post titled: "Here is why HTC doesn't pay a cent to Apple"

Remember those statements from yesterday that HTC has to pay Apple around $6-$8 for each and every Android smartphone they sell? Well it turns out that this was complete bogus.


As I suspected when I first researched this topic, this is all just FUD and the claim is most likely bunk. Sites like Groklaw got suckered by the FUD, which had simply spread all around the Web, sometimes by all the usual suspects.

Comments

Recent Techrights' Posts

SUEPO Munich Informs/Contacts the German Government About the Situation at the European Patent Office (EPO)
Salary Erosion Procedure: Two letters to Germany
 
The "Official" Numbers That Say "Microsoft Layoffs" Will be Misleading
The scale of the layoffs in gaming will be unprecedented
SLAPP Censorship - Part 109 Out of 200: When You Drag Family Members Into a Case Unrelated to Them Because Their Relative Published Something
This did not exactly surprise us given what we had already encountered
Gemini Links 17/06/2026: Feeling "Useful"; PISA Pen-and-Paper Cipher
Links for the day
Trajectory of O'Reilly: From Publisher of Books to Microsoft Advertiser
The state of the media is not good and when prolific book publishers start running ads as 'articles' or videos (never mind the disclosure) it is rather tasteless
Links 17/06/2026: Slop's “Crack Cocaine” Approach to Pricing, Microsoft's Rapid Shrinking of Gaming Business
Links for the day
Links 17/06/2026: "How Developers React to Slop-Scented Blog Posts", Police Caught Fabricating Evidence Using Slop
Links for the day
More Than 90% in European Patent Office (EPO) Ballot Vote for Continuation of Industrial Actions/Strikes, About Half Wish to Further Intensify These
Ballot results on intensification of actions
If Not Now, Then When?
If you are not part of the solution/s, then you're merely a vessel or passive participant
Microsoft Offers People 'Retirements' (Again) to Fake (Artificially Lower) Number of Layoffs, Those People Are Nowhere Near Retirement Age
Microsoft implicitly affirms huge cuts are coming
Gemini Links 17/06/2026: 10 Years in Canada, Wild Flower Explorations, and Microslop
Links for the day
European Patent Office (EPO) Series: The Portuguese Prodigy
In this part we will present some additional background information about Mendonça's activities before he joined the EPO
Over at Tux Machines...
GNU/Linux news for the past day
IRC Proceedings: Tuesday, June 16, 2026
IRC logs for Tuesday, June 16, 2026
Microsoft Will "DOOM" id Software and Others, Claim Observers
As the worst predictions trickle in and out Microsoft loses control of the narrative
Austria Shows Rapid Demise of Windows in the EU
Expect many Microsoft layoffs soon, and not just in XBox/gaming
Links 16/06/2026: Mainstream Media Affirms Microsoft Studio Closures Planned, Anthropic’s Latest Marketing Hype Debunked by Experts
Links for the day
This Morning The Register MS Published Page With "AI" 42 Times in It. It Was Paid SPAM.
The Register MS is propping up a pyramid scheme
Microsoft XBox is Having Its 1990s Apple Moment (Near Bankruptcy), Says Respected Insider
Microsoft's CEO has already admitted that XBox is having serious financial problems [...] They already try to reuse the brand "XBox" to refer to Vista 11
OECD Carries Water for Microsoft, Targets Schools and Children With Slop Agenda
Peel off a layer or two to find GAFAM
Microsoft "Xbox braces for sweeping studio closures before June 30."
Microsoft's control of the damage-limiting narrative has clearly slipped
In Africa's Largest Nation Windows Has Fallen From 100% to a Lot Less, Now All-Time Lows
Let's see what happens or will happen in Algeria in 2027
Richard Stallman's Talk Due in One Hour, Here's What People Say
To Stallman, what matters is control by users and collective control
SLAPP Censorship - Part 108 Out of 200: Moving On and Moving Up
an explanation of our rich history and commitment to courageous whistleblowers
Links 16/06/2026: UK to Restrict Access to Social Control Media; The FCC Wants to Eliminate Burner Phones
Links for the day
Why We Call Him Dr. Stallman
He got at least 15 such titles
United States of America: GNU/Linux Hovering Around 5% (It Started There)
GNU/Linux is turning 43 this year (in a few months), Linux will turn 35
Microsoft Promises Made to be Broken
It's a real problem and it is not limited to XBox
IBM Down $61 in Two Weeks, The Lies About Quantum Computers Didn't Last Long
IBM is an unsafe employer, not a good place to work
You Probably Don't Want to "Go Viral" in Toxic Social Control Media
Good news sites do not strive to go "viral" but to be consistently good, irrespective of "traffic"
New 'Article' in The Register MS Has Mentioned "AI" 44 Times. The Register MS Got Paid to Publish It.
Bear this in mind when seeing "hey hi" all over the news
18-Year Anniversary of Our IRC Community
As noted some months ago, trolling and abuse in our IRC network is very rare these days
Microsoft - Like IBM - is Leaving a Legacy is Emptied/Abandoned Buildings
Microsoft's LinkedIn had many layoffs recently
Richard Stallman's (RMS) Speaking Tour in Europe Coincides With Abandonment of Microsoft Windows
The message applies to all governments
Gemini Links 16/06/2026: Nazi Law of Mental Abuse and Lewis Aburrow's 3D-Printed Slider
Links for the day
Links 16/06/2026: Windows TCO and Fedora Finding Serious 20-Year-Old Holes in Microsoft Outlook
Links for the day
European Patent Office (EPO) Series: An Advisor to the President
he had recently advanced to membership of the "inner circle" of Team Campinos.
Two Weeks Ahead of July Three Studios Microsoft Plans to Shut Down Already Named
This is what happens when companies try to establish themselves on a mountain of promises and false assumptions, kicking the can down the road until payroll becomes hard to complete
Over at Tux Machines...
GNU/Linux news for the past day
IRC Proceedings: Monday, June 15, 2026
IRC logs for Monday, June 15, 2026
IBM Works for Microsoft
Hours ago in IBM.com
Microsoft May Already Be Shutting Down More Gaming Studios
the writings are on the wall: XBox is in disarray.
European Patent Office (EPO) Series: The EPO's Brussels Liaison Officer
It would appear that in January 2020, Pellegrino was induced by Campinos to jump ship from the EUIPO and take up his current position as Brussels Liaison Officer for the EPO
European Patent Office (EPO) Receiving Section (RS) and Elimination of Many Roles
Open letter to Mr Rowan (VP1) and Mr Aledo Lopez (COO) [...] Does the EU leadership intend to tolerate this?
Microsoft's XBox is Disintegrating, Executives Are Quitting
We're basically witnessing the slow-motion "end of XBox"
Gemini Links 15/06/2026: Slop Code Benchmarked, Wireguard on NixOS and Guix
Links for the day
Links 15/06/2026: More Own Goals for the Slop Industry, Palantir Trouble in UK
Links for the day
Apple Wants Everybody to Forget About "Vision Pro" Because It Was a Giant Flop
worthless gadgets with no obvious use case/s
The Cyber Show is Adopting 'Book Form' (or Long Form Publications)
Andy and Helen nowadays invest more time in making their site faster
Richard Stallman's Software Freedom/Digital Sovereignty Tour in Europe
As things stand at present, the vast majority of people have their interactions controlled/policed by GAFAM
Estimates of Scale of Microsoft Layoffs, Will Likely Happen "in Batches"
"Heard 10 to 15 percent eventually but idk date."
IBM Has Put Red Hat on a Poor Diet of Slop, Now Fedora and Red Hat Suffocate or Choke on It
Over the weekend we saw more people leaving the company
Estimates of Microsoft Layoffs: 3,000 Staff to be Culled Just in Gaming, How Many in Other Divisions?
Now the XBox division has its own "fall guy", but it is a woman
Straw Man Arguments Against Rust
If anything, it teaches the importance of auditing packages
Tesla Debt Rose Sharply, Sales Declined, Wall Street's Claim of Tesla "Value" is Merely a Fairytale (and Not Just Tesla)
We would gladly sell land on Mars to anyone who honestly believes a company that loses money is somehow "worth" trillions in Wall Street
Stop Calling Losses "Investment"
XBox is losing money, it is a sinkhole
For Justice We Need More Speech, Not Less Speech
When you attack something you are just giving that something a bigger platform
SLAPP Censorship - Part 107 Out of 200: Keeping Law Accessible to Everybody
We'll have stories related to this in the future
Links 15/06/2026: Slop "Beg Bounties", Wall Street Fakes 'Worth', and Arkansans Saved PBS
Links for the day
Gemini Links 15/06/2026: Dating Oaks, Simulation, and Theremin
Links for the day
Over at Tux Machines...
GNU/Linux news for the past day
IRC Proceedings: Sunday, June 14, 2026
IRC logs for Sunday, June 14, 2026