M-CAM: Microsoft is ‘like a deranged Easter Bunny’ with Android bullying strategy

Business

Microsoft’s alleged strategy of forcing Android partners into intellectual property licensing deals with threats of legal action is once again under fire. In a report released on Friday, intellectual property management firm M-CAM offered a no-holds-barred analysis of Microsoft’s “license or we sue” strategy. The firm said Microsoft is offsetting its own failures in the mobile space by forcing more successful companies to pay royalties on Android device sales, and it likened Microsoft’s strategy to that of “a deranged Easter Bunny.” Read on for more.

Microsoft “has entered into more than 700 licensing agreements and continues to develop programs that make it possible for customers, partners and competitors to access its growing, broad patent and IP portfolio,” the company notes on its website, but M-CAM calls this assessment a deranged marketing ploy.

“It’s like a creepy dude in an Easter bunny suit offering eggs, and them throwing them if the passerby refuses to take one,” M-CAM wrote in its report. “This strategy of ‘license or we sue’ is working for them though, since Microsoft’s likely ‘received five times more income from Android than from Windows Phone’ – and this just from HTC phone sales!”

It has been estimated in the past that Microsoft at one point earned five times more money from Android licensing deals than from its own mobile platform, and the Redmond, Washington-based software giant has announced numerous licensing deals since that estimate was made.

M-CAM curiously suggests that the success of Microsoft’s patent licensing strategy is due at least in part to a lack of licensees’ willingness to to comb through Microsoft’s massive patent portfolio. “This strategy is working because, really, how many manufacturers are going to look through not only Microsoft’s 10,000 plus patents, but their own sizeable [sic] portfolios as well, just to determine which patents they may or may not be infringing? We doubt even Microsoft’s patent lawyers know what’s in their own portfolio, let alone what’s in their competitors’.”

Microsoft on Sunday announced a new licensing deal with ODM Compal that covers Android and Chrome devices. It already had a similar deal in place with Quanta, and M-CAM ponders whether or not Amazon should be worried. BGR reported last month that Microsoft’s prior deals with Amazon will not cover the retailer’s upcoming Kindle Fire tablet, but that it would likely pursue a new licensing agreement.

110 Comments
  • Anonymous

    Let us correct this a bit.

    Apple:  We are getting a preliminary injunction to prevent you from selling your products in Germany, Australia, etc.  See you in court.  End of story.

  • WWorld

    This article is ridiculous! Microsoft are not stupid. Any co. no matter how small is going to protect their trademarks, copyrights, patents…You dont think Android or iPhone would do the same. this has ZERO to do with lack of Microsoft selling WP7. by the way, if you have tried their WP7 phone operating system, you would appreciate the excellent system that it is.

  • Anonymous

    Microsoft is like our modern day Wall Street!!

  • Anonymous

    Android is funding all their Kin-folk… ;)

    • http://twitter.com/casandrasdream casandrasdream

      Microsoft is doing everything to force on us wp7, they pay alot of money. I would not be forced

    • Anonymous

      And Kindle-folk?

  • Andrew

    What is Google going to do to avoid this?

    This is what I have been trying to find out for a long time now.
    No article says anything about Google’s strategy except to whine. Whining is not a legal strategy.

    • Anonymous

      But it is typical of someone who has been caught cheating and has no defence.

  • Anonymous

    So this is Microsoft’s desperation strategy eh?  Kind of reminds me of the way Apple is acting.

  • CrossWired

    Well, they’re at least better than Apple raving like a spoilt child thrashing out with lawsuits at everyone they can aim at.

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