Forums - Microsoft Discussion - Microsoft will make $3.4 billion from Android in 2013

Neowin

Windows Phone 8 may not be selling well, having captured just 5.6% of U.S phone sales in Q1 2013 (despite being a very good operating system). In April of this year, Microsoft won a legal battle that means every Android OEM must pay Microsoft to sell a phone, including LG, HTC and Samsung. 

That deal may be one of Microsoft's most profitable, after BGR estimated earnings from 2013 Android sales at $3.4 billion. According to Microsoft, 80% of Android phones sold in the U.S - as well as devices sold around the world - come under the patent deal, which nets Microsoft $8 per Android device. 

And that $3.4 billion figure is set to increase exponentially as more Android devices are sold over the coming years. In 2017, Microsoft is expected to make $8.8 billion in revenue from the sale of 1.5 billion Android devices, assuming Microsoft collect royalties from 75% of Android devices. If Microsoft only collected royalties for 50% of all Android devices sold, they'd be inline for a $5.9 billion payout during 2017. This money is essentially free, as Microsoft contributes nothing to the Android ecosystem. 

Not only does Microsoft make money from "most" Android devices sold, but also from a massive range of other companies who use the exFAT file format. Microsoft has deals with Sharp (for TVs), Nikon, BMW and Volkswagen, all of which pay Microsoft a substantial yearly revenue. 

Source: BGRDigital Trends 



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sounds like some good money

zuvuyeay said:
sounds like some good money


+

Easy Money

=

Awesome



Wow, that is pretty awesome for MSFT lol easy money




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Ssenkahdavic said:
zuvuyeay said:
sounds like some good money


+

Easy Money

=

Awesome


yep,no one can do it quite like microsoft



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Possible Duplicate

http://gamrconnect.vgchartz.com/thread.php?id=159445&page=1#7

Looks like they took those figures to make this article.



Wow, these days patents can make you more money than producing your own products.

Member of the official Squeezol Fanclub

lol MS makes money for doing nothing.

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Pretend Exclusive: A 3rd party multiplat, that releases for multiple consoles in the same window, in which all press showings and marketing are catered to only one console. Exclusive console bundles, being the lead platform, as well as timed exclusive/exclusive  betas and game content also strengthen the claim. The final effect is that the uninformed gamer will be convinced that the version primarily advertised is the only and/or best place to experience the game.

X1: Titanfall, COD: AW.    PS4: Watch Dogs, Destiny

Xbox E3 Exclusives: Halo MCC, Crackdown 3, Phantom Dust, Scalebound, Dance Central Spotlight

sales2099 said:
lol MS makes money for doing nothing.


right.  now only if they can shift some over to the xbox division and make games.



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tres said:
sales2099 said:
lol MS makes money for doing nothing.


right.  now only if they can shift some over to the xbox division and make games.

They are. May 21 buddy.



___________

Pretend Exclusive: A 3rd party multiplat, that releases for multiple consoles in the same window, in which all press showings and marketing are catered to only one console. Exclusive console bundles, being the lead platform, as well as timed exclusive/exclusive  betas and game content also strengthen the claim. The final effect is that the uninformed gamer will be convinced that the version primarily advertised is the only and/or best place to experience the game.

X1: Titanfall, COD: AW.    PS4: Watch Dogs, Destiny

Xbox E3 Exclusives: Halo MCC, Crackdown 3, Phantom Dust, Scalebound, Dance Central Spotlight