Microsoft Signs Patent Agreement with LG; Now Covers 70% of US Android Market

In what comes as a boost to Microsoft's efforts for making money from the success of Android, the Windows maker has signed a patent agreement with LG.

Under the terms of the agreement, LG will get access to Microsoft's broadband patent portfolio for tablets, mobile phones and other consumer devices based on Google Android or Chrome OS platform.

With this new deal, Microsoft now covers 70 percent of the Android market in the United States. In exchange for letting LG access its patents, Microsoft will get a royalty fee for each Android and Chrome OS device that LG sells.

The companies failed to disclose the financial details of the agreement.

"We are pleased to have built upon our longstanding relationship with LG to reach a mutually beneficial agreement," said Horacio Gutierrez, corporate vice president and deputy general counsel, Intellectual Property Group at Microsoft.

LG now joins the long list of Android device manufacturers that Microsoft has struck a patent licensing agreement. This includes Samsung, HTC and Acer, which are among the 10 Android and Chrome OS device makers which have signed on for MIcrosoft's IP licensing program.

With its weak patent portfolio, Google has not been able to provide adequate protection to its OEM partners who are using the Android and Chrome OS.