Microsoft enters into licensing deal with Kyocera ending litigation over Android patents

Back in March, Microsoft sued Kyocera claiming that the latter had infringed on seven Android patents it owned. Today, both sides agreed to a cross-licensing deal that immediately puts a halt to all litigation related to the patents. The deal allows both tech firms to use each other's technologies in a wide-range of products. The rest of the agreement between the companies is confidential.

The patents that Microsoft accused Kyocera of infringing on are related to text messaging and location services. Ironically, Microsoft owns a wide range of patents related to the Android platform. Back in 2013, it was estimated that those patents could generate $8.8 billion in income for Microsoft each year starting in 2017.


Having Android patents hanging in the closet where it keeps the rest of its IP has analysts wondering why Microsoft doesn't sell or close Windows Phone and concentrate on selling Android powered handsets. Last week, a rumor started circulating stating that Microsoft was going to do just that. Heck, Microsoft could even exit the smartphone business entirely and still have a nice annual annuity from its Android patents.

Microsoft seems to be considering a massive write off of the goodwill that accumulated on its books thanks to the acquisition of Nokia Devices and Services. If  Microsoft makes this move, it will be easier for the software giant to sell or spin off its Windows Phone business. It seems strange to be contemplating such an action so close to the Windows 10 Mobile launch, but stranger things have happened.

source: Microsoft via AndroidCentral