Microsoft may make a ton of money by selling Xboxes, operating systems, and other software to consumers, but it also pads its bottom line by monetizing its IP. Its newest patent profits will be coming from Pegatron Corp. -- a Taiwanese ODM that makes parts for a plethora of others, including Apple, ASUS and HP -- as the two companies have entered into a licensing agreement for devices running Android and Chrome OS. The agreement covers e-readers, smartphones and tablets, with Pegatron paying Redmond royalties of unknown amount. So, the Ballmer licensing bandwagon continues unabated, but we just hope all this new-found cash will be put to use creating fantastic new products instead of funding more courtroom conflicts.
Microsoft and Pegatron Corp. Sign Patent Agreement Covering Android- and Chrome-Based Devices
The contents of the agreement have not been disclosed, the parties indicate that Microsoft will receive royalties from Pegatron under the agreement.
REDMOND, Wash., April 25, 2012 /PRNewswire/ -- Microsoft Corp. and Pegatron Corp. have signed a patent agreement that provides coverage under Microsoft's patent portfolio for a broad array of Pegatron products including eReaders, smartphones and tablets running the Android or Chrome platforms. Although the contents of the agreement have not been disclosed, the parties indicate that Microsoft will receive royalties from Pegatron under the agreement.
"We are pleased to have reached this agreement with Pegatron and proud of the continued success of our Android licensing program in resolving IP issues surrounding Android and Chrome devices in the marketplace," said Horacio Gutierrez, corporate vice president and deputy general counsel, Intellectual Property Group at Microsoft. "With this agreement, Microsoft has now licensed four of the top five Taiwanese ODMs."
Microsoft's Commitment to Licensing Intellectual Property
The patent agreement is another example of the important role intellectual property plays in ensuring a healthy and vibrant IT ecosystem. Since Microsoft launched its IP licensing program in December 2003, the company has entered into more than 1,100 licensing agreements and continues to develop programs that make it possible for customers, partners and competitors to access its IP portfolio. The program was developed to open access to Microsoft's significant R&D investments and its growing, broad patent and IP portfolio.
More information about Microsoft's licensing programs is available at http://www.microsoft.com/iplicensing.