Android Manufacturers Royalties Go To

Motorola has recently announced that Android manufacturers from now on will be giving patent royalties to Motorola. Motorola’s CEO Sanjay Jha explained that this move would make it apparent to the world Motorola’s strong IP position. He said that that with the passage of time the importance and position of Android manufacturers would become apparent, and that this would be to the benefit of the company.

Android

Motorola makes this move for the following reasons:
1) Revenue generation:
Collecting royalties on their patents is just an additional way to earn more revenue. The worth of patents has increased considerably recently and they plan to profit from that.
2) Imparting a blow to their competition:
Patent royalties collection would mean that the cost incurred for their competition would be higher than theirs: hence that provides a competitive edge to Motorola that few companies will be able to match.
3) This move gets a nod of approval from Microsoft:
Motorola has been in negotiations recently with Microsoft over using WP7. Even though Motorola has said in the past that they do not really give much significance to the usage of WP7, but after Motorola got sued by Microsoft Motorola acknowledged that they will use WP7 provided Microsoft offers them the same contract as they offered Nokia.
Motorola and good image does not seem to be two compatible things these days. Motorola is these days in a relatively bad standing from the press and from its past admirers as well. The Android lovers of today will not be very happy with the blow that Motorola is going to give its competitors companies now. The thing about likers of Android is that they not only buy cell-phones for the sake of the cell-phone itself, but also because of the brand-image of the company. Should Motorola be so aggressive towards not only their competitors but also towards the Android network, this could lead to them losing their popularity, and also lead to the lessening of Android’s popularity with other companies because of the rise in cost.