Apple vs Samsung opens doors for Microsoft

Commentary Wireless United States 27 AUG 2012
Apple vs Samsung opens doors for Microsoft

The late Apple CEO Steve Jobs would surely have been pleased with the American court ruling that Samsung infringed Apple's patents. However, there may be someone even happier: Steve Ballmer, the CEO of Microsoft. 

Microsoft's Windows Phone platform has struggled to gain a foothold in the smartphone market, with the latest reports showing it has a market share of just 2-3 percent. It's fighting against Apple's iOS and Google's Android, which according to IDC control around 85 percent of the market.

It's no understatement to say that the two companies behind the leading mobile OS have not seen eye to eye. In his biography Jobs said he would spend every cent Apple had to destroy Android, as it was a "stolen" product. While the US court ruling brought Jobs closer to his wish, it's still far from the end for Android. It does offer chances for Microsoft though, which has been welcoming any wavering Android partners with open arms. 

Microsoft is preparing to launch this autumn Windows 8/Windows Phone 8. The launch is crucial for the success of the company, which last year agreed to work with Nokia on smartphones. Other Windows Phone 8 launch partners include Samsung, HTC and Huawei, all of which have to date focused more on Android. 

While Android is open source, the cost of using the system is growing due to multiple patent suits brought by Apple against Android partners in various countries. Microsoft itself will reportedly make USD 400 million this year from its licensing deals with Android manufacturers. Around 70 percent of Android partners have agreed to pay royalties to Microsoft. 

Other problems for the Google platform include fragmentation, the growing amount of malware on the platform and concerns about Google's takeover of Motorola Mobility. In short, Microsoft has enough munition to brand Android a problem case, and based on the latest court ruling, a shameless copy of Apple products. 

If Windows Phone 8 gains traction in the market, it's only a matter of time before handset makers come knocking at Microsoft's door. It's unlikely Android partners will fight to the death the unending, costly lawsuits. In the end Microsoft will profit from this. 

Shortly after the ruling in the Apple vs. Samsung case, there was a tweet from Bill Cox, senior director of Marketing Communications Windows Phone at Microsoft: "Windows Phone is looking gooooood right now." Given the recent market developments, the tweet does not look far from the truth. 

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