Nokia released their fourth quarter financial results today, and have made a large sum of money from Microsoft’s Windows Phone 7. Nokia was paid $250 million and is calling the money “platform support payment.” The company also suffered from a $1.4 billion loss in other departments.
Although Nokia has suffered from a $1.4 billion loss, the is expecting the payments from Microsoft to rise into the billions over time, which is pretty outstanding:
“Our broad strategic agreement with Microsoft includes platform support payments from Microsoft to us as well as software royalty payments from us to Microsoft. In the fourth quarter 2011, we received the first quarterly platform support payment of USD 250 million (EUR 180 million).
We have a competitive software royalty structure, which includes minimum software royalty commitments. Over the life of the agreement, both the platform support payments and the minimum software royalty commitments are expected to measure in the billions of US Dollars.”
The Next Web is suggesting that most of the money paid to Nokia is to help them advertise the Lumia device, which have in the past made peoples jaw drop.Further reading: Microsoft, Nokia