Microsoft Earns Revenue From Android Phones

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Although Microsoft and Google may be considered as competitors even in the mobile phone market, it seems that the former may be profiting by virtue of the latter, in a way. Microsoft may be earning profits from sales of Android smartphones. What is even ironic is that Microsoft may be earning 5 times more from Android phone sales than it does with sales of its own Windows Phone 7.

Microsoft is particularly earning revenue from sales of some HTC Android smartphones. It seems that Microsoft has accused HTC of patent infringement. In order to compromise, HTC was given a license for said patent/s in exchange for percentage of sales of some HTC Android phones. It proves to be quite a profitable venture for Microsoft.

According to reports, Microsoft is set to earning around $150 million from the sales of HTC Android phones. It is actually earning around $5 for every HTC phone sold that contains its licensed technology. Compared to the $30 million reportedly earned from sales of the Windows Phone 7 units, Microsoft is earning more from the Android phone sales at HTC for now. Go figure.

Well, Microsoft has not actually reported the official sales numbers from its Windows Phone 7 units. But the numbers do strike an ironic chord that might ring on and on for the software giant. Will it recommend people into buying HTC phones since it is earning a lot more through it? Will it change gear trying to take advantage of its patent licensing portfolio in the mobile industry since it may be earning more than way? Well, with Microsoft, nothing can always be sure. There might be a surprise lurking around the corner.