Foxconn lashes out at Microsoft over royalties

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Summary

NEW TAIPEI CITY, Taiwan -- Foxconn founder Terry Gou accused Microsoft of bullying on Tuesday, in response to the U.S. software giant suing his company over a patent-licensing agreement. At issue is a dispute over royalty payments on the Android software used by Foxconns Chinese clients Huawei Technologies, Xiaomi, Vivo, as well as Nokia. "If it’s a patent infringement with the Android operation system, it’s kind of strange for Microsoft to ask a contract manufacturer such as Foxconn to pay for such royalties only," said Eddie Han, a veteran smartphone analyst at Market Intelligence & Consulting Institute. However, Ross Darrell Feingold, a lawyer who advises clients on trade and political risks between the U.S. and China, said it is still early to tell who has the advantage in this legal battle. "Until Foxconn files its response and if any, counterclaims, we only have Microsofts initial complaint as an insight into the factual background," Feingold told the Nikkei Asian Review.

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