While bigger Android manufacturers like Motorola and Barnes & Noble have decided to fight off Microsoft’s attempts to cash in on supposedly-infringed patents, smaller companies just don’t have the luxury to afford a drawn-out legal battle with one of the nation’s largest companies. It’s much easier for them to simply pay Microsoft the fees they demand, and that’s exactly what Velocity Micro and General Dynamics have decided to do.
Both companies produce low-cost Android tablets, and Velocity Micro’s CEO says the agreement reached with Microsoft will allow the company to “better meet the needs of [their] customers.” The amounts they will pay for licensing are undisclosed, but a similar deal sees HTC giving MS $5 for each handset sold. It all adds up to why Microsoft earns more on Android licensing than they do on their own Windows Phone 7 devices.
[via CrunchGear]