Microsoft sues Samsung for $6.9 Million
We thought Microsoft and Samsung are going to make peace. According to The Korean Times, the two companies were about to settle their feud in order to keep their long collaboration going. Apparently, the two companies were going to sign a “comprehensive cross-licensing deal” to manage their patent disputes. A similar action has been seen in the Apple – HTC feud.
However, it seems like Microsoft will go to court though. According to Microsoft, here is the reasoning:
“ First, we’ve asked the court to resolve a contract dispute with Samsung. After months of painstaking negotiations by two of the biggest and most sophisticated companies in the world, in 2011 Microsoft and Samsung agreed on the terms of a patent license agreement and a separate business collaboration agreement, the latter of which is unique to our relationship with Samsung and, as explained in paragraph 35 of the complaint, was aimed at promoting the development and sale of Windows smartphones and tablets by Samsung.”
Samsung, however, decided that Microsoft has breached the contract when they bought the Nokia devices line. The Korean company was bound by contract to pay a sum for each Android device they sell and they did. The last payment however came late. We are talking about $1 billion.
The same agreement stated that Samsung must actively involve in the Windows Phone promotion and help Microsoft develop the platform. According to GSM Arena, Microsoft had a big worry: Samsung will neglect the Windows devices in favour of the Galaxy line-up. The purpose of this agreement was to protect both companies from outside law actions.
In a very PR-istic way, Microsoft stated that they still value the relationship with Samsung and they hope to continue it:
“At the same time, Microsoft values and respects our long partnership with Samsung, is committed to it, and expects it to continue.”
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