It is no secret that a huge chunk of Microsoft’s earning comes from patent fees and royalties. These are mostly paid of course, by Android manufacturers. Because of this relationship, Samsung and the Redmond Company have been no strangers to battling in court especially in the past few years. The heat seemed to simmer down when a deal was struck to have Microsoft’s apps pre-installed in Samsung devices. The price – settlement out of court.
Microsoft surprisingly agreed to settle the patent lawsuits outside the legal arena. And it seems that the tech giant’s good spirits are continuing as it just agreed to reduce annual patent fee charges in exchange for the usage of its services on the Samsung smartphones.
The South Korean tycoon has been paying about USD$2.7 per device in royalty fees. That rounds it out to about 1 trillion Korean won per year, more or less. No word has yet to be given on the exact figure but nonetheless, the discount will definitely be helping Samsung increase its profits.