Apple softens Jobs' war on Android, offers licensing deal to Motorola and Samsung

Apple softens Jobs' war on Android, offers licensing deal to Motorola and Samsung
It looks like Apple may be softening its strategy in Steve Jobs' eternal war against Android. Now, instead of seeking injunctions against devices in its numerous lawsuits against Android hardware manufacturers, Apple is taking a page from Microsoft's playbook and offering licensing deals instead. At last count, Microsoft had signed licensing deals with over half of all Android manufacturers, and was collecting anywhere between 5 to 10 dollars per handset sold in royalties. 

Apple is just targeting Motorola and Samsung right now, but is looking for a little more than Microsoft, asking for between 5 and 15 dollars per handset sold. The licensing deal was presented to Motorola and Samsung by Apple as a settlement to the current lawsuits seeking injunctions. The figure of $5-15 represents between 1%-2.5% of net sales per device.

Motorola had offered Apple a similar licensing deal, asking for 2.5% of net sales per iOS device for the wireless patents that had led to an injunction against iCloud in Germany. Samsung is also locked in litigation with Apple. Who knows, maybe this will be a turning point away from wasteful patent litigation and towards licensing deals which will end up with everyone paying everyone else. That's progress, right?

source: Nasdaq via BGR

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70 Comments

1. Penny

Posts: 1870; Member since: Feb 04, 2011

Wooooo! Progress, definitely.

54. Mario1017

Posts: 336; Member since: Sep 04, 2011

Good job Apple! Now that is good competition!

2. cepcamba

Posts: 717; Member since: Feb 27, 2012

I think this is outside the policy Jobs. They are supposed to be the ultimate closed system. Thumbs up though :) If this happens, it will lead to more innovations considering progress is being hampered because most companies don't want to accidentally step into a patent suit that can cost them more than the value of their company.

69. bayusuputra

Posts: 963; Member since: Feb 12, 2012

yeah, i don't mind paying more for the technological progress, but i hate paying more for another legal battles..

3. bragzter

Posts: 53; Member since: Feb 21, 2012

Let's hope an agreement can be reached. This patent war has to stop cause it's hurting the industry

4. Jamus

Posts: 30; Member since: Feb 19, 2012

Soon Android users will be paying Microsoft, Apple users paying Android, and Microsoft users paying China..I mean Apple. Either way, licensing offers growth, which is good. Whereas patent litigation strangles it.

5. remixfa

Posts: 14605; Member since: Dec 19, 2008

if its for valid patents with a promise to end all lawsuits I'm all for it. if its for more napkin drawings then stay in court. now is apple offering to pay for their violations as well or is this just a strong arm tactic.. "pay us now and forever or we keep suing". at least its a step in a new direction.

10. cepcamba

Posts: 717; Member since: Feb 27, 2012

"pay us now and forever or we keep suing". That's certainly very Apple (or Jobs). Anyway, looks like the new Apple management has a different view from Jobs. I have this feeling they're starting to play by the rules, I mean the Market Rules :) dual-core, variety of screen sizes (rumored), dropping prices (really? Apple?) and now this sort of attempt to make peace with it's biggest competitor.

16. remixfa

Posts: 14605; Member since: Dec 19, 2008

I hope that sort of behavior modification is true on apple's part. I dont hold high hopes as I don't think Jobs would chose a successor that fell too far from his tree, but at least there is some hope.

19. cepcamba

Posts: 717; Member since: Feb 27, 2012

Yup. If Apple is indeed wanting a harmonious relationship with other companies it can only lead to good things. Honestly, I think Apple can get a big chunk of the Android Market share if they made their products "open". Imagine them producing quads with a humongous apps store with all the apps optimized for their device. I'm guessing porting of Android Apps wouldn't pose much of an issue too since both have arm architecture (i'm guessing here). I just really like the way iPhones (3GS, 4, and 4S) have this creamy feeling (thanks to a highly optimized software) whereas you only get this feeling with dual core droids and a select few single core monsters. I guess what I'm saying is the combined technologies of anything is sure to lead to something better.

70. bayusuputra

Posts: 963; Member since: Feb 12, 2012

if that's true, i think apple will have even more followers, and maybe it can even coexist peacefully with android.. it's not that i hate apple products, actually they are not that bad, and certainly in some aspects, better than others.. it's their market behaviour that disgusts me the most, and maybe Jobs' personal vendetta to kill other competitors.. he's a great guy, but his methods are sometimes too sick..

6. gallitoking

Posts: 4721; Member since: May 17, 2011

the patent wars ahve been going on for quite some time.. Innovation has not slowed down.. please.. people dont exagerate..

22. -box-

Posts: 3991; Member since: Jan 04, 2012

I dunno, I haven't seen apple innovate anything... whereas other companies are pushing for better and more exciting (and long-lasting) UI/UXs, tweaking the software, pushing the hardware boundaries (processors, screens, cameras), rather than incremental upgrades to increase sales and render prior models almost entirely useles...

26. gallitoking

Posts: 4721; Member since: May 17, 2011

they release a phone every year... thats why their innovation is different...

39. andro.

Posts: 1999; Member since: Sep 16, 2011

They release the same phone every year is what you meant to say

40. gallitoking

Posts: 4721; Member since: May 17, 2011

to dumb to noticed the difference.. ok.. now I see why you went with Android

50. nak1017

Posts: 328; Member since: Jan 08, 2010

Are you high? The lawsuit wars have made lawyers apart of engineering R&D decisions, which is akin to pouring molasses in gears. Companies are so worried about getting caught up in these never ending trials, they're having to go everything with a fine-tooth comb and keep perfect records of all development work just to avoid the appearance of using someone else's prior art. Licencing give companies the option to take the shorter routes and speed up development work (at a small cost per unit). It also allows companies an out in the event of possible lawsuits, thus removing some lawyers from engineering decisions. You obviously never worked for an engineering company...

8. gallitoking

Posts: 4721; Member since: May 17, 2011

nice choice of picture Michael... the hammer of the law about to crush Apple.. and you still say you called right down the middle..

24. -box-

Posts: 3991; Member since: Jan 04, 2012

I know you're a hardcore apple person, but your statement says that you're glad the picture shows apple about to get smashed by the gavel, meaning you're happy apple has to compromise... ...did you have an epiphany or something?

28. gallitoking

Posts: 4721; Member since: May 17, 2011

is called sarcasm....

9. fost4real

Posts: 27; Member since: Dec 29, 2011

Apple must pay for the notification bar they stole from Android.

11. theBankRobber

Posts: 682; Member since: Sep 22, 2011

I agree

12. gallitoking

Posts: 4721; Member since: May 17, 2011

are you sure they stole it.. prove it... thats what I thought

17. vijaysivakula

Posts: 229; Member since: Aug 17, 2011

yeah. i am sure you can prove it on your idevice even before android existed.

21. TechDroid

Posts: 37; Member since: Jun 14, 2011

Are you serious?

58. frydaexiii

Posts: 1476; Member since: Dec 01, 2011

Prove it? Are you for real? That's like looking at a sparrow and say to others "Are you sure it's a bird? Prove it!".

45. stealthd unregistered

Google hasn't been granted a patent for that.

13. GALAXY-S

Posts: 701; Member since: Jun 07, 2011

everybody wants a piece of android now!! cant beat them join them! lol or charge them!

25. cepcamba

Posts: 717; Member since: Feb 27, 2012

Well said. :p

29. gallitoking

Posts: 4721; Member since: May 17, 2011

could it be that they were late to the party and they copied everyone..

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