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HTC pays Microsoft $5 for every Android devices they build

HTC pays Microsoft $5 for every Android devices they build

HTC Corporation

IMAGE CREDITS: IMAGE: WIKIPEDIA/WIKIMEDIA COMMONS

EDITOR’S NOTE: This article is part of MobileTechWorld’s historical archive. Mobile technology has evolved dramatically since this was published. For our latest coverage, explore our Latest News, Reviews, and AI in Mobile coverage.

According to CiTi analyst Walter Pritchard, HTC is paying Microsoft $5 in licensing fee for every Android handset they build. As you probably already know HTC has signed a patent licensing deal with Microsoft last year to be able to manufacture and sell Android devices without being sued. Unfortunately the cost per device has never been officially revealed and today’s analysts guess is the closes we have.


If this turns out to be true then Microsoft is probably making more money this way that via the current Windows Phone 7 licensing fee which is estimate to be around $15/license (HTC has sold more Android devices than all the WP7 devices combined in the last quarters). The Redmond software giant is also suing Motorola and several other Android OEMs in hopes to make them sign a similar license agreement and make them pay between $7.50 and $12.50 per license.

via: BI

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