If You Can’t Beat ‘Em, Tax ‘Em

There are few but the most diehard of fans that believe Microsoft’s level of innovation is anywhere close to where it was under Bill Gates’ reign.  Particularly in the mobile space, despite having an admirable user interface, it would appear that, barring some sort of magical distribution pixie dust a la Nokia, MS will continue to fight for survival.

But they’ll still make a boatload of cash.  At least compared to how much they are making selling their own Windows Phone 7 devices.

 

 

John Paczkowski, one of the contributors for AllThingsD, recently wrote about how MS is making a lot of money in licensing revenues from the likes of HTC for devices running…wait for it…

Android.

That’s right.  Android.  He references Citi analyst Walter Pritchard’s statement that MS makes about $5 for every Android phone that HTC sells.  Estimates of 30 MM handsets shipped translates into approximately $150MM.

 

And indications are that MS isn’t really done yet.  They’re going after other OEMs as well, and they’re looking to charge even more as a royalty.

Now I know why Kevin O’Leary always pushes licensing deals on Shark Tank.  Beats having to build and distribute stuff yourself.

Or at least helps ease the pain when you do and it doesn’t pan out…

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