Samsung and MS agree to cross-licence patents

Microsoft and Samsung Electronics have recently decided to exchange one another’s patent portfolio’s, with Microsoft getting royalties for the mobile phones and tablets of Samsung, which mostly runs on Android.

Both these came to a conclusion that they are going to work together to develop and market Microsoft’s Windows Phone software, which they believe to increase exposure for the windows Phone.

Brad Smith and Horacio Gutierrez, Microsoft’s general counsel and deputy general counsel commented on a blog post that, this deal count as the Seventh deal the Company has made in the past three years with a hardware maker that uses Android for their tablets as well as smatphones. This list of hardware makers also includes Acer and Onkyo.

Though there has not been any disclosure of financing terms but Evercore Partners analyst Kirk Materne thinks Microsoft probably may have a lower share on amount per unit sold as they are bolstering their relationship with phone manufacturers so that Microsoft has an advantage when they launches Windows 8, their latest Operating System.

Microsoft is busy building a mobile version of Windows, which is already lagging behind Apple’s iOS and Android, as these Operating systems are already flooding in the market of the tablet. IDC a research firm has also reported Samsung to be the second smartphone maker in the world during Q2 of this year, while apple is in the first position. So Microsoft might be planning to ensure a good performance of their OS along with a great device from Samsung to give a competition in the tablet market when they get launched.

Evercore Partners analyst Kirk Materne, believes that with Google taking over the Motorola Mobility Holdings Inc., a key competitor for Samsung, diversifying what operating systems Samsung phones run could definitely give them a plus point.

So we can conclude that with this deal both the giants are equally gained and giving us a hope to get something great in the near future as the Windows 8 for mobile devices get launched.

Source(s)