Tuesday, July 5, 2011

Microsoft Signs New Android Deal

In the past few weeks Microsoft has signed a patent licencing agreement  with  Onkyo for Android devices and had earlier signed a similar deal earlierwith military subcontractor General Dynamics.Also other companies like  Velocity Micro and HTC had signed similar agreements allowing Microsoft to receive royalties on those Google's Android powered devices.The question then is Microsoft seeking to undermine Google's Android ?

Microsoft has shown that it has a huge capacity for vanquishing the competition.In the 1990's they beat all competition including Apple and IBM in the battle for who would have the dominant operating system on personal computer systems(desktops).Also Microsoft took over leadership of the browser market by dethroning Netscape in the 1990's.


Now because of several patent licences that they hold the company is receiving royalties from makers of devices that run Android operating system(developed) by Google.The fact is that Microsoft Windows 7 mobile operating system came late into the market at a time that Google (Andoid), Apple(iOS) and RIM had captured most of the market share.

In order to regain lost market share Microsoft has launched a battle against the incumbent leaders in the smartphone market by:

1.Asking makers of Android d...evices to pay Royalties to Microsoft for patents it holds.

2.Launching Microsoft Windows 7 mobile OS(Mango) with 500 new features and then signing an agreement with Nokia.

3.Microsoft has instigated anti-trust complaints against Google which may weaken Google.

4.Microsoft launched the search engine Bing in a bid to take market share away from Google and weaken Google.

5.Microsoft recently teamed up with other technology companies like Apple, RIM, ERICSSON to outbid Google for Nortel patents.

6.Also there several lawsuits against Google's Android for patents infingements especially the$2.6 billion suit brought by Oracle against Google and Microsoft has been giving tacit support to these lawsuits by saying that Android is not free.Meaning that those who licence Android are at the risk of lawsuits.

Microsoft has continued to seek ways of dispatching Google and Google is vulnerable because over 90% of the company's revenue comes from search.Could these growing challenges from Microsoft diminish the power of the search giant Google in the long term?

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