Microsoft reaches LG patent deal but no Nokia takeover

Microsoft has signed a patent agreement with LG covering devices running Android and Chrome OS, however the rumoured Nokia takeover is looking increasingly unlikely
 Android robot

Microsoft has signed a patent licensing agreement with LG covering smartphones, tablets and other mobile devices running Android or Chrome OS. For the software giant, it is the latest in a long line of deals relating to the company's alleged mobile technology patents.


Although the contents of the agreement have not been disclosed, Horacio Gutierrez, Corporate Vice President and Deputy General Counsel, Intellectual Property Group at Microsoft said: “We are pleased to have built upon our longstanding relationship with LG to reach a mutually beneficial agreement. We are proud of the continued success of our program in resolving the IP issues surrounding Android and Chrome OS.”


Since December 2003, Microsoft has entered into over 1,100 licensing agreements and in October this year, the company reached an Android patent milestone when it claimed half of manufacturers running the operating system have signed royalty contracts.



With LG now joining HTC, Samsung and Acer, Microsoft now receives money from 70 percent of Android smartphones sold in the US as the company claims these devices infringe on its patents. The 11 agreements covering Android and Chrome OS royalty payments avoids potentially hefty legal fees for mobile manufacturers.


Even though Microsoft's Windows Phone OS is also managing to increasing its share in a highly saturated market, speculation surrounding a possible takeover of its mobile device partner Nokia is untrue.


"The rumours are baseless," said Nokia CEO Stephen Elop at CES 2012. "Some people who seem to enjoy generating rumours are running out of fresh material, so it seems to have come up again.”


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