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Android Smartphone prices may shoot up

|July 12 2011 |Android, Industry News


Google has been accused for breaching several patents in making the Android Operating system. Google is in risk of paying huge amounts to the patent owners. The patent holders including Microsoft and Oracle are going after the Android smartphone makers, demanding them to pay $15 to 20 per handset. This is addition to the original cost of the smartphone. So, the Android smartphones may be priced Rs.1000 more.

google_android_phone"It's not like Android is free. Android has a patent fee. You do have to license patents," said the Microsoft CEO Steve Ballmer. Oracle filed a lawsuit against the search giant Google alleged for its Android infringes its Java copyright. Now, the company is asking the smartphone makers to pay the licence fee.

HTC had a deep discussion with Microsoft and came to a conclusion that it would pay $5 per handset to the company. Motorola is not in a condition to pay and of-course to fight against Microsoft legally. Now, the serious thinking is - what about the Android lover Samsung ???

Samsung is in a serious discussion and negotiating with Microsoft. Samsung produced the highest number of Android smartphones 19 million in the first quarter. So, even at a level of $10 it would pay $190 million and at a $15 level it has to pay $285 million. Roughly, this calculates to serious numbers.

On the other hand Apple, Microsoft and Research In Motion (RIM) are accused for keeping a set of patents out of Google's hands. This is in context of acquiring to Nortell patents. However, Google is on great influence in connection to these acts. Let us see where it leads to, in the coming weeks.


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