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Apple wanted Samsung to license patents for $30 per smartphone, $40 per tablet

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According to court documents made public on Friday, Apple in 2010 offered Samsung a $30 per smartphone/$40 per tablet license deal for use of the Cupertino company's patents.

The numbers, outlined in an October 2010 offer, estimate that Samsung would have owed Apple about $250 million for the year, much was less than what the iPhone maker was spending on components, reports All Things D.

In addition to the license fees, Apple offered a 20 percent discount if Samsung were to cross-license its own patent portfolio to Apple which would have brought royalties down to $24 and $32 for smartphones and tablets, respectively.

Non-Android royalties requested by Apple included $30 for smartphones running Windows Mobile 7 and another $30 for all other mobile operating systems like Bada. The discounted rate for these devices would have been more substantial as they didn't use Apple's "proprietary features."


Source: All Things D

Negotiations were obviously ineffective, or non-existent, as the Apple v. Samsung trial is already well underway.



68 Comments

flufflesworth 13 Years · 3 comments

Grammar police.

 

 

Quote:
much was less than what the iPhone maker was spending on components, reports 
All Things D
.

 

I think you mean "was much less"

MacPro 19 Years · 19853 comments

I was just reading on CNET the details of Apple's original attempt to get Samsung to see reason. The bulk of the problem then was Android not hardware design. So I assume Apple are not going to let Google off the hook so this hardware design fight is just phase one in a larger thermo nuclear war it seems.

anantksundaram 19 Years · 20391 comments

Foolish Samsung. They could easily have increased their ASP by $30 and not worried about looking as bad as they currently do.

mac_128 13 Years · 3452 comments

This has ALWAYS been about getting Google. Samsung didn't back down because Google promised to support their licensees. Apple intends to force Google to back up their promise, thus coming to blows directly with Apple, or destroy their business model by scaring all of their licensees away thus achieving the same goal ...