8 ms·

Microsoft wants Samsung to pay it $15 for each Android handset

46 points by tilt 15y ago

naner 15y ago
All these companies getting harassed by Microsoft should pool their patents together for defensive purposes.
nextparadigms 15y ago
Samsung should go to court with them, and they should also cease any plans to launch WP7 phones. Microsoft is like a leech in the smartphone industry. They saw they can't make money with their own product, so they try to scare the little guys into paying up, to make it seem that they are right on this, and then go after the big guys, too. Even if using Android costs manufacturers the same as using WP7, why would they use it over Android, when Android is a very proven product in the market, while WP7 is not at all and it sits around 1% market share right now, and dropping. Does Microsoft think this will make consumers more likely to buy their phones? I think they are much more likely to get a lot of bad PR over this, because there are a lot of Android users and only a few WP7 users. This bad PR will focus negatively on their future products, like Windows 8. They are creating a negative halo effect around their products.
- barredo 15y ago
  > Samsung should go to court with them Yes. > and they should also cease any plans to launch WP7 phones Not quite. I guess you're asumming that WP7 phones are only beneficial to MSFT instead of both MSFT & Samsung. What if, i'm not saying it will happen and i find it unlikely, Google starts hardening the Android rules for new releases? Samsung, as well as other handset manufacturers, need to diversificate. Samsung has bada, but that's for mid, mid-low handsets. HTC & Motorola have nothing afaik (correct me if i'm wrong). > They saw they can't make money with their own product Yup > while WP7 is not at all and it sits around 1% market share right now, and dropping. I'm superinterested in smartphone stats, where's that dropping in WP7? it's not "super-growing", but it's not dropping either. > Does Microsoft think this will make consumers more likely to buy their phones? Consumers don't care about this.
  - bad_user 15y ago
    Samsung has bada, but that's for mid, mid-low handsets Did you know that Samsung sold more Bada phones in 2011 Q1 than all WinMo 7 phones sold in that same quarter? Personally I think Microsoft is acting stupid. What will happen if Google wins the Oracle lawsuit? I'll tell you what happens - Android phone makers will grow big balls. And I don't think pissing off Samsung is smart.
    - jimbobimbo 15y ago
      Bada is in a different segment of mobile devices - not sure how you can compare WP7's sales with Bada's. "And I don't think pissing off Samsung is smart." Just see how it worked out for Apple.
      - bad_user 15y ago
        Bada is in a different segment of mobile devices - not sure how you can compare WP7's sales with Bada's. But they can be compared, as they are in the same market and more than that ... customers who purchased Bada phones, aren't able to purchase something else without a second contract for at least 1 year, or 2 years more commonly. I'm not sure how you can't compare WP7 sales with Bada, since one of them is clearly preventing sales for the other. Just see how it worked out for Apple. I'm not sure what you're suggesting here. Did I miss anything?
        jimbobimbo 15y ago
        WP7 caters to people who shop a smart device (same public who'd look at iPhone and Android). Bada is more of a feature phone on steroids. Apple sues Samsung for look-and-feel copying. At the same time Samsung does a lot of hardware-related stuff for Apple.
  - nextparadigms 15y ago
    Rumors are HP is going to license WebOS to Samsung. I think Samsung could run with WebOS, more than they ever did with WP7.
- jimbobimbo 15y ago
  Well, first off, people who're shopping for a new phone will hardly care whether Samsung is paying MS patent money or not - lay person will see phone ad, not someone's press release on a completely unrelated matter. Second, whether you like it or not, but Microsoft has had a lot of "firsts" in smart devices and tablets (whether brewed inside or acquired) and in the world with its existing patent system I can hardly hold their desire to leverage these firsts against Microsoft.
  - MichaelApproved 15y ago
    They'll care if it increases the cost of their phone $10-$15.
    - jimbobimbo 15y ago
      On a $300-600 device? Really?
- mcritz 15y ago
  Samsung should go to court with them What happens if a judge rules in favor of a Microsoft injunction against selling Samsung-made Android phones? The trial could last years—or decades—and the whole time Samsung couldn't sell it's phones in the US.
  - rbanffy 15y ago
    Let's hope judges are still capable of noticing an extortion racket when they see one.
  - markokocic 15y ago
    I'm pretty sure that Samsung has enough patents to sue Microsoft in counter case and actually force them to negotiate.
    - Tyrannosaurs 15y ago
      You think a hardware company has a lot of patents Microsoft are currently breaching?
      - markokocic 15y ago
        MS is also doing hardware with Xbox and their mice.
  - rlpb 15y ago
    Microsoft is already willing to license its patent to Samsung, and for a price that is known. If the court didn't issue an injunction, Microsoft would not really be harmed - if Samsung lost the case later it's quite clear what the damages would be and Microsoft have already made it clear that just financial compensation would be acceptable. If the court did issue an injunction, then Samsung could be irreparably harmed - and if Samsung subsequently win the case then it would be very difficult to make them whole again. IANAL. I don't see why any sensible court would issue such an injunction.
- blub 15y ago
  Samsung got screwed over by Google to the point of having to ship a phone with a defective gps. It makes a lot of sense for them not to put all eggs in one basket.
  - seles 15y ago
    Could you elaborate on this please, how did google force samsung to release a phone with gps?
    - blub 15y ago
      They denied Samsung access to Skyhook, which was deeply integrated into a specific phone model. Samsung then pleaded to at least ship with Skyhook and remove it afterwards but Google denied them again with the threat of removing Android compatibility for that phone. This info was revealed in the Skyhook trial.
Uchikoma 15y ago
Even if there are patents, I'm not sure how they explain the $15 value as part of the phone price (10% for smaller handsets?)
- Zaim2 15y ago
  So that they can peggle a Windows phone license as the better, cheaper alternative.
- kenjackson 15y ago
  They don't have to explain it. They don't have to license these technologies under reasonable terms. They could, rather than seek royalties, seek injunctions. Or they could seek $500/unit in future payments (which would basically be an injunction). Although for past units shipped they'd get, at best, what one would consider reasonable.
  - Uchikoma 15y ago
    That assumes patents are not for being sold as a product in a market, but for extortion.
rfrey 15y ago
Samsung is reportedly looking to lower the payment to nearer $10 per handset in exchange for an alliance which benefit the creation of new Windows Phone devices Suggests (certainly doesn't prove) that Samsung agrees they're using MS IP, and they're just haggling over price. We have no idea from the article what the patents are for - it could be a hardware patent for all we know. Unlikely, yeah, but unless we know what the patent's for its tough to pass judgement. Tempting and entertaining, but tough.
- Zaim2 15y ago
  Well, they did have cross licensing agreement with Microsoft back in 2007, but that didn't cover telecommunications. http://news.cnet.com/Microsoft%2C-Samsung-in-patent-swap-deal/2100-1014_3-6177381.html http://news.cnet.com/Microsoft%2C-Samsung-in-patent-swap-dea... Maybe the they'll choose to go to court this time, as Samsung is well armed patent wise. MS' objective is clear: to make the cost of Android greater than the cost of a Windows phone license, so the "free" advantage is no longer is valid.
  - Tyrannosaurs 15y ago
    These patents have already been tested in court by other Android handset manufacturers and MS won. Samsung would only be increasing the cost, reducing the likelihood of a favourable partnership deal and postponing the inevitable.
    - Zaim2 15y ago
      Do you have links/sources? I only know of Barnes & Noble and Motorola fighting against MS, afaik everyone else immediately settled.
      - deleted 15y ago
        [deleted]
      - Tyrannosaurs 15y ago
        Sorry, you're right, the other five didn't actually fight it, I'd thought one of them had. What I would say thought is (a) Motorola's fight isn't going brilliantly and (b) when the likes of HTC - hardly small fry - think it's best just to license, there's probably something there.
deleted 15y ago
[deleted]
JonoW 15y ago
Pretty crap what MS is doing. The $10/15 per handset seems so high, what exactly is this patent that they're referring to?
- bluedanieru 15y ago
  With the current state of patents, probably 'use electricity to do stuff' or something similar.
  - Create 15y ago
    You are about to destroy the myth of Edison & Co...
- JamieEi 15y ago
  It appears to be multiple patents, virtually all obvious and with significant prior art: • 5,579,517: Common name space for long and short filenames • 5,758,352: Common name space for long and short filenames • 6,621,746: Monitoring entropic conditions of a flash memory device as an indicator for invoking erasure operations • 6,826,762: Radio interface layer in a cell phone with a set of APIs having a hardware-independent proxy layer and a hardware-specific driver layer • 6,909,910: Method and system for managing changes to a contact database • 7,644,376: Flexible architecture for notifying applications of state changes • 5,664,133: Context sensitive menu system/menu behavior • 6,578,054: Method and system for supporting off-line mode of operation and synchronization using resource state information • 6,370,566: Generating meeting requests and group scheduling from a mobile device • Give people easy ways to navigate through information provided by their device apps via a separate control window with tabs; • Enable display of a webpage’s content before the background image is received, allowing users to interact with the page faster; • Allow apps to superimpose download status on top of the downloading content; • Permit users to easily select text in a document and adjust that selection; and • Provide users the ability to annotate text without changing the underlying document. http://arstechnica.com/microsoft/news/2010/10/microsoft-sues-motorola-citing-android-patent-infringement.ars http://arstechnica.com/microsoft/news/2010/10/microsoft-sues... http://blogs.technet.com/b/microsoft_on_the_issues/archive/2011/03/21/android-patent-infringement-licensing-is-the-solution.aspx http://blogs.technet.com/b/microsoft_on_the_issues/archive/2... I really hate software patents and the trolls that abuse them.
shareme 15y ago
A question...lets say at some point the MS patents under the royalty agreement get invalidated can than Samsung ask for its money back?
- mcritz 15y ago
  No. They sign a contract that probably covers that unlikely outcome.
shareme 15y ago
Another question when a company signs a patent royalty agreement is there any contractual language that limits what they can say about the agreement in terms of terms of motivations? Yes, I know they have limits on whether they can mention the patent or patent specifics, etc..I am just wondering if Samsung cannot than make a PR campaign maligning MS for their patent trolling..
- kenjackson 15y ago
  I am just wondering if Samsung cannot than make a PR campaign maligning MS for their patent trolling I'm sure they could, but business is not like an episode of Degrassi Junior High. Samsung wants as many partners as possible. If a carrier wants WP devices, they want to be the one to make them. Android, they want to be there too. While Apple is suing Samsung, I'm sure Samsung would take more Apple orders if possible. If anything, Samsung may push MS to collect royalties from other vendors, to level the playing field. And this is probably why MS is on a roll. If one company is going to pay royalties, they want to make it easier for MS to collect royalties from the next company. So they're more likely to provide collateral, in various ways, to strengthen Microsoft's claims. MS can use this to then go down the street to LG and say, "Samsung and HTC just openly admitted that this technology infringes. It appears you use it to." I'm not a fan of the patent trolling, but I must say that I tip my hat to the guy in the MS IP group running this.
wildmXranat 15y ago
As much as I hate to use the word tax in this instance, it seems like it, and it hits your pocketbook my friend. The cost is passed onto you and I and it's nothing but a fictional tarrif. Smart people don't shell out $700 on a new device or get tangled up in a 3-year contract that puts a $2100 dent in your budget over 36 months. They curtail the hit by shopping thrifty. Additionally, market atmosphere that feeds off of luxury goods bragging rights tends to pull shit like this all the time. Create hype, add marketing and hysteria, cover all legal ends by patenting, cross-licensing, charge $COST + $MARGIN + $FEES. Galaxy SII campaign is a good example. Now, there's no intention of sounding anti-capitalist, what have you, but the mobile market seems like a giant red herring.
- Shenglong 15y ago
  Smart people don't shell out $700 on a new device or get tangled up in a 3-year contract that puts a $2100 dent in your budget over 36 months If you're going to use your phone anyway, why wouldn't you get "tied" into a contract? Contracts aren't made to screw you over - they're made to retain customers over a certain amount of time. Considering the heavy regular by the FCC in the US and the CCTS in Canada, you can't really even get screwed over. This is completely aside from the point I'm trying to make, but you're never really tied into a contract if you're smart. Customer service reps at all the major phone companies are so poorly trained, that forcing a mistake is extremely easy. There are also other regulations in place, that makes escaping a contract without a fee, very possible.
  - wildmXranat 15y ago
    Correct on many fronts, but the regulations you speak of are local to whichever market you're in. Here, in Canada, a person will be nicked $20 x number of months left plus I think $10 x number of months left on data plan. Altogether, it is capped at around $300 - $400 just to leave. That is insane when you compare it to what it actually gets you.
    - markokocic 15y ago
      Then why sign such a contract in the first place?
bluedanieru 15y ago
The timing of this is interesting, they must feel emboldened after getting a cut of the Nortel patents. May they die a thousand deaths.
blinkingled 15y ago
When the Nortel patent deal is approved they would double up on the $15. Wondering what counter strategy other than pay up are Samsung and other Android handset vendors pondering. At this point it just sounds like the OHA will have to do patent pooling and go head to head against leeches to either get a very favorable deal or not have to pay anything at all. Google+TI+Samsung+Sony and the 80 others (ZTE has LTE patents for e.g.) must have enough patents to realize something like this. It would be terminally bad for Android if instead of paying the ever increasing royalties to MS, vendors just chose to ship WP7 instead. And WP7 is fast getting near more than good enough. The game could change in Microsoft's favor with Nokia at MSFT's disposal sooner than we think. EDIT : S3 was bought by HTC, and they have a successful claim against Apple. Hmm.
deleted 15y ago
[deleted]
saucetenuto 15y ago
> Microsoft has leveraged its intellectual property rights in recent weeks, utilising its IP licensing program to extend rights to smartphone vendors. What a remarkable sentence. I think my favorite part is "extend rights", but there's a lot to enjoy and it's hard to pick just a few words.

46 points by tilt 15y ago

naner 15y ago

All these companies getting harassed by Microsoft should pool their patents together for defensive purposes.

Samsung should go to court with them, and they should also cease any plans to launch WP7 phones. Microsoft is like a leech in the smartphone industry. They saw they can't make money with their own product, so they try to scare the little guys into paying up, to make it seem that they are right on this, and then go after the big guys, too. Even if using Android costs manufacturers the same as using WP7, why would they use it over Android, when Android is a very proven product in the market, while WP7 is not at all and it sits around 1% market share right now, and dropping. Does Microsoft think this will make consumers more likely to buy their phones? I think they are much more likely to get a lot of bad PR over this, because there are a lot of Android users and only a few WP7 users. This bad PR will focus negatively on their future products, like Windows 8. They are creating a negative halo effect around their products.

barredo 15y ago
> Samsung should go to court with them Yes. > and they should also cease any plans to launch WP7 phones Not quite. I guess you're asumming that WP7 phones are only beneficial to MSFT instead of both MSFT & Samsung. What if, i'm not saying it will happen and i find it unlikely, Google starts hardening the Android rules for new releases? Samsung, as well as other handset manufacturers, need to diversificate. Samsung has bada, but that's for mid, mid-low handsets. HTC & Motorola have nothing afaik (correct me if i'm wrong). > They saw they can't make money with their own product Yup > while WP7 is not at all and it sits around 1% market share right now, and dropping. I'm superinterested in smartphone stats, where's that dropping in WP7? it's not "super-growing", but it's not dropping either. > Does Microsoft think this will make consumers more likely to buy their phones? Consumers don't care about this.
- bad_user 15y ago
  Samsung has bada, but that's for mid, mid-low handsets Did you know that Samsung sold more Bada phones in 2011 Q1 than all WinMo 7 phones sold in that same quarter? Personally I think Microsoft is acting stupid. What will happen if Google wins the Oracle lawsuit? I'll tell you what happens - Android phone makers will grow big balls. And I don't think pissing off Samsung is smart.
  - jimbobimbo 15y ago
    Bada is in a different segment of mobile devices - not sure how you can compare WP7's sales with Bada's. "And I don't think pissing off Samsung is smart." Just see how it worked out for Apple.
    - bad_user 15y ago
      Bada is in a different segment of mobile devices - not sure how you can compare WP7's sales with Bada's. But they can be compared, as they are in the same market and more than that ... customers who purchased Bada phones, aren't able to purchase something else without a second contract for at least 1 year, or 2 years more commonly. I'm not sure how you can't compare WP7 sales with Bada, since one of them is clearly preventing sales for the other. Just see how it worked out for Apple. I'm not sure what you're suggesting here. Did I miss anything?
      - jimbobimbo 15y ago
        WP7 caters to people who shop a smart device (same public who'd look at iPhone and Android). Bada is more of a feature phone on steroids. Apple sues Samsung for look-and-feel copying. At the same time Samsung does a lot of hardware-related stuff for Apple.
- nextparadigms 15y ago
  Rumors are HP is going to license WebOS to Samsung. I think Samsung could run with WebOS, more than they ever did with WP7.
jimbobimbo 15y ago
Well, first off, people who're shopping for a new phone will hardly care whether Samsung is paying MS patent money or not - lay person will see phone ad, not someone's press release on a completely unrelated matter. Second, whether you like it or not, but Microsoft has had a lot of "firsts" in smart devices and tablets (whether brewed inside or acquired) and in the world with its existing patent system I can hardly hold their desire to leverage these firsts against Microsoft.
- MichaelApproved 15y ago
  They'll care if it increases the cost of their phone $10-$15.
  - jimbobimbo 15y ago
    On a $300-600 device? Really?
mcritz 15y ago
Samsung should go to court with them What happens if a judge rules in favor of a Microsoft injunction against selling Samsung-made Android phones? The trial could last years—or decades—and the whole time Samsung couldn't sell it's phones in the US.
- rbanffy 15y ago
  Let's hope judges are still capable of noticing an extortion racket when they see one.
- markokocic 15y ago
  I'm pretty sure that Samsung has enough patents to sue Microsoft in counter case and actually force them to negotiate.
  - Tyrannosaurs 15y ago
    You think a hardware company has a lot of patents Microsoft are currently breaching?
    - markokocic 15y ago
      MS is also doing hardware with Xbox and their mice.
- rlpb 15y ago
  Microsoft is already willing to license its patent to Samsung, and for a price that is known. If the court didn't issue an injunction, Microsoft would not really be harmed - if Samsung lost the case later it's quite clear what the damages would be and Microsoft have already made it clear that just financial compensation would be acceptable. If the court did issue an injunction, then Samsung could be irreparably harmed - and if Samsung subsequently win the case then it would be very difficult to make them whole again. IANAL. I don't see why any sensible court would issue such an injunction.
blub 15y ago
Samsung got screwed over by Google to the point of having to ship a phone with a defective gps. It makes a lot of sense for them not to put all eggs in one basket.
- seles 15y ago
  Could you elaborate on this please, how did google force samsung to release a phone with gps?
  - blub 15y ago
    They denied Samsung access to Skyhook, which was deeply integrated into a specific phone model. Samsung then pleaded to at least ship with Skyhook and remove it afterwards but Google denied them again with the threat of removing Android compatibility for that phone. This info was revealed in the Skyhook trial.

Uchikoma 15y ago

Even if there are patents, I'm not sure how they explain the $15 value as part of the phone price (10% for smaller handsets?)

Zaim2 15y ago
So that they can peggle a Windows phone license as the better, cheaper alternative.
kenjackson 15y ago
They don't have to explain it. They don't have to license these technologies under reasonable terms. They could, rather than seek royalties, seek injunctions. Or they could seek $500/unit in future payments (which would basically be an injunction). Although for past units shipped they'd get, at best, what one would consider reasonable.
- Uchikoma 15y ago
  That assumes patents are not for being sold as a product in a market, but for extortion.

rfrey 15y ago

Samsung is reportedly looking to lower the payment to nearer $10 per handset in exchange for an alliance which benefit the creation of new Windows Phone devices Suggests (certainly doesn't prove) that Samsung agrees they're using MS IP, and they're just haggling over price. We have no idea from the article what the patents are for - it could be a hardware patent for all we know. Unlikely, yeah, but unless we know what the patent's for its tough to pass judgement. Tempting and entertaining, but tough.

Zaim2 15y ago
Well, they did have cross licensing agreement with Microsoft back in 2007, but that didn't cover telecommunications. http://news.cnet.com/Microsoft%2C-Samsung-in-patent-swap-deal/2100-1014_3-6177381.html http://news.cnet.com/Microsoft%2C-Samsung-in-patent-swap-dea... Maybe the they'll choose to go to court this time, as Samsung is well armed patent wise. MS' objective is clear: to make the cost of Android greater than the cost of a Windows phone license, so the "free" advantage is no longer is valid.
- Tyrannosaurs 15y ago
  These patents have already been tested in court by other Android handset manufacturers and MS won. Samsung would only be increasing the cost, reducing the likelihood of a favourable partnership deal and postponing the inevitable.
  - Zaim2 15y ago
    Do you have links/sources? I only know of Barnes & Noble and Motorola fighting against MS, afaik everyone else immediately settled.
    - deleted 15y ago
      [deleted]
    - Tyrannosaurs 15y ago
      Sorry, you're right, the other five didn't actually fight it, I'd thought one of them had. What I would say thought is (a) Motorola's fight isn't going brilliantly and (b) when the likes of HTC - hardly small fry - think it's best just to license, there's probably something there.

deleted 15y ago

[deleted]

JonoW 15y ago

Pretty crap what MS is doing. The $10/15 per handset seems so high, what exactly is this patent that they're referring to?

bluedanieru 15y ago
With the current state of patents, probably 'use electricity to do stuff' or something similar.
- Create 15y ago
  You are about to destroy the myth of Edison & Co...
JamieEi 15y ago
It appears to be multiple patents, virtually all obvious and with significant prior art: • 5,579,517: Common name space for long and short filenames • 5,758,352: Common name space for long and short filenames • 6,621,746: Monitoring entropic conditions of a flash memory device as an indicator for invoking erasure operations • 6,826,762: Radio interface layer in a cell phone with a set of APIs having a hardware-independent proxy layer and a hardware-specific driver layer • 6,909,910: Method and system for managing changes to a contact database • 7,644,376: Flexible architecture for notifying applications of state changes • 5,664,133: Context sensitive menu system/menu behavior • 6,578,054: Method and system for supporting off-line mode of operation and synchronization using resource state information • 6,370,566: Generating meeting requests and group scheduling from a mobile device • Give people easy ways to navigate through information provided by their device apps via a separate control window with tabs; • Enable display of a webpage’s content before the background image is received, allowing users to interact with the page faster; • Allow apps to superimpose download status on top of the downloading content; • Permit users to easily select text in a document and adjust that selection; and • Provide users the ability to annotate text without changing the underlying document. http://arstechnica.com/microsoft/news/2010/10/microsoft-sues-motorola-citing-android-patent-infringement.ars http://arstechnica.com/microsoft/news/2010/10/microsoft-sues... http://blogs.technet.com/b/microsoft_on_the_issues/archive/2011/03/21/android-patent-infringement-licensing-is-the-solution.aspx http://blogs.technet.com/b/microsoft_on_the_issues/archive/2... I really hate software patents and the trolls that abuse them.

shareme 15y ago

A question...lets say at some point the MS patents under the royalty agreement get invalidated can than Samsung ask for its money back?

mcritz 15y ago
No. They sign a contract that probably covers that unlikely outcome.

shareme 15y ago

Another question when a company signs a patent royalty agreement is there any contractual language that limits what they can say about the agreement in terms of terms of motivations? Yes, I know they have limits on whether they can mention the patent or patent specifics, etc..I am just wondering if Samsung cannot than make a PR campaign maligning MS for their patent trolling..

kenjackson 15y ago
I am just wondering if Samsung cannot than make a PR campaign maligning MS for their patent trolling I'm sure they could, but business is not like an episode of Degrassi Junior High. Samsung wants as many partners as possible. If a carrier wants WP devices, they want to be the one to make them. Android, they want to be there too. While Apple is suing Samsung, I'm sure Samsung would take more Apple orders if possible. If anything, Samsung may push MS to collect royalties from other vendors, to level the playing field. And this is probably why MS is on a roll. If one company is going to pay royalties, they want to make it easier for MS to collect royalties from the next company. So they're more likely to provide collateral, in various ways, to strengthen Microsoft's claims. MS can use this to then go down the street to LG and say, "Samsung and HTC just openly admitted that this technology infringes. It appears you use it to." I'm not a fan of the patent trolling, but I must say that I tip my hat to the guy in the MS IP group running this.

wildmXranat 15y ago

As much as I hate to use the word tax in this instance, it seems like it, and it hits your pocketbook my friend. The cost is passed onto you and I and it's nothing but a fictional tarrif. Smart people don't shell out $700 on a new device or get tangled up in a 3-year contract that puts a $2100 dent in your budget over 36 months. They curtail the hit by shopping thrifty. Additionally, market atmosphere that feeds off of luxury goods bragging rights tends to pull shit like this all the time. Create hype, add marketing and hysteria, cover all legal ends by patenting, cross-licensing, charge $COST + $MARGIN + $FEES. Galaxy SII campaign is a good example. Now, there's no intention of sounding anti-capitalist, what have you, but the mobile market seems like a giant red herring.

Shenglong 15y ago
Smart people don't shell out $700 on a new device or get tangled up in a 3-year contract that puts a $2100 dent in your budget over 36 months If you're going to use your phone anyway, why wouldn't you get "tied" into a contract? Contracts aren't made to screw you over - they're made to retain customers over a certain amount of time. Considering the heavy regular by the FCC in the US and the CCTS in Canada, you can't really even get screwed over. This is completely aside from the point I'm trying to make, but you're never really tied into a contract if you're smart. Customer service reps at all the major phone companies are so poorly trained, that forcing a mistake is extremely easy. There are also other regulations in place, that makes escaping a contract without a fee, very possible.
- wildmXranat 15y ago
  Correct on many fronts, but the regulations you speak of are local to whichever market you're in. Here, in Canada, a person will be nicked $20 x number of months left plus I think $10 x number of months left on data plan. Altogether, it is capped at around $300 - $400 just to leave. That is insane when you compare it to what it actually gets you.
  - markokocic 15y ago
    Then why sign such a contract in the first place?

bluedanieru 15y ago

The timing of this is interesting, they must feel emboldened after getting a cut of the Nortel patents. May they die a thousand deaths.

blinkingled 15y ago

When the Nortel patent deal is approved they would double up on the $15. Wondering what counter strategy other than pay up are Samsung and other Android handset vendors pondering. At this point it just sounds like the OHA will have to do patent pooling and go head to head against leeches to either get a very favorable deal or not have to pay anything at all. Google+TI+Samsung+Sony and the 80 others (ZTE has LTE patents for e.g.) must have enough patents to realize something like this. It would be terminally bad for Android if instead of paying the ever increasing royalties to MS, vendors just chose to ship WP7 instead. And WP7 is fast getting near more than good enough. The game could change in Microsoft's favor with Nokia at MSFT's disposal sooner than we think. EDIT : S3 was bought by HTC, and they have a successful claim against Apple. Hmm.

deleted 15y ago

[deleted]

saucetenuto 15y ago

> Microsoft has leveraged its intellectual property rights in recent weeks, utilising its IP licensing program to extend rights to smartphone vendors. What a remarkable sentence. I think my favorite part is "extend rights", but there's a lot to enjoy and it's hard to pick just a few words.