In the release, Microsoft noted that its patent-licensing revenue
was down 26% from a year ago. And it’s because of Android. […]
Suh also noted that not every Android manufacturer has a licensing
deal with Microsoft. He didn’t name names, but Chinese phone
makers typically take a very loose approach toward licensing
American intellectual property, and as those inexpensive phones
take over the world, Microsoft doesn’t benefit as much.
At one point, Microsoft was reported to be booking $2 billion a
year from licensing its patents and other intellectual property to
Android handset makers like Samsung and HTC. Microsoft has never
confirmed that number, but it’s probably a drop in the bucket
compared to the overall Windows business, which booked revenue
around $4.2 billion this quarter. (“Windows revenue decreased $292
million or 7%,” the release says.)
Still, the Android gravy train is slowing down for everybody.