Microsoft filed legal action against Samsung earlier this year for failure to pay royalty on intellectual property licensed from Microsoft for its Android devices, and now Samsung is claiming that the deal between both companies, which was originally agreed upon in 2011, is void following Microsoft's acquisition of Nokia.
Samsung made similar statements when Microsoft filed a lawsuit earlier this year, but is now changing its stance to focus more on antitrust issues stemming from the fact that Microsoft is now a direct hardware competitor. Samsung's deal with Microsoft in 2011 stipulated that the South Korean vendor would share sensitive data and develop Windows Phone devices with Microsoft, which would result in a reduction in the amount to be paid in royalties from Samsung's sale of Android devices.
Essentially, the more Windows phone handsets Samsung sold, the less it would have to pay Microsoft in royalties. That proved to not be the case, with Samsung shelling out nearly $1 billion in royalties last year over sales of 300 million handsets.
Samsung is now stating that since Microsoft owns Nokia's devices unit, sharing sensitive data with the company would result in a breach of US antitrust laws. Here's what the manufacturer said in the filing:
"The agreements, now between competitors, invite charges of collusion."
Microsoft, meanwhile, mentioned in a statement to Reuters that it was "confident that our case is strong", and that it would succeed. Microsoft is also seeking $6.9 million in damages as it says that Samsung was late in paying the $1 billion royalty in 2013. We should hear more from both organizations once a decision is reached.
What do you guys think? Is Samsung's reasoning sound?
We may earn a commission for purchases using our links. Learn more.
Top 5 new features in the Windows 10 October 2020 Update
The Windows 10 October 2020 Update is here! It's a smaller release, but that doesn't mean there aren't new things worthy of note to talk about. Here's the top five new features and changes that are included as part of Microsoft's latest version of Windows 10, rolling out now to users on supported devices running version 1903 or higher.
Windows 10 October 2020 Update review: Subtle, but necessary
Microsoft's next big Windows 10 feature update is almost here, packing several notable changes and enhancements. This release is known as the October 2020 Update, version 20H2, and is the second big Windows 10 update to hit in 2020, after version 2004 which released in May earlier this year. This release is very much a continuation of version 2004, adding a few final touches and subtle...
Review: Microsoft's new Designer Compact Keyboard is for minimalists
Microsoft has a new keyboard on the block, and this time, it’s in the form of a mini keyboard designed for the minimalist in mind. It’s a low-profile, sleek, slim, and modern Bluetooth keyboard with support for pairing to up to three devices, Windows 10’s emoji picker, and more. But for $70, is it worth it? Find out in our review.
Spruce up your Surface Laptop Go with these accessories
The Surface Laptop Go is an excellent little laptop, but what are some of the accessories you should pair it with? Here's what we think.