According to Citi analyst Walter Pritchard’s lastest big report on Microsoft, the Redmond company makes five times more income from Android than from Windows Phone. You may pick up your yaws now.
Here’s how it’s happening: Back in April 2010 Microsoft settled an intellectual property infringement case against HTC. In the agreement, HTC agreed to pay Ballmer and his cronies $US5 per shipped Android set. Citi says that HTC has sold 30 million sets, adding to $US150 million of fresh greens for Microsoft.
Now, Microsoft sold two million Windows Phone licences over the same period, which accounts for $US30 million dollars using an estimated licence fee of $US15 for each Windows Phone shipped.
But there’s more. That’s not the only way they are going to be getting money from the Android handsets: Microsoft has sued other Android phone makers. And if HTC gave up, you can be sure that those are lawsuits that are also likely going to be settled too. To the tune of $US7.50 to $US12.50 per handset sold, says Citi.