/// Breaking: Apple Offered to License its Patents to Samsung for $30 Per Smartphone, $40 Per Tablet
Apple executives have testified the company was “shocked” when Samsung debuted its first Galaxy phones. But, considering the Korean company was a major supplier, Apple apparently was also willing to make a deal with its rival. In October 2010, Apple offered to license its portfolio of patents to Samsung provided the Korean company was willing to pay on the order of $30 per smartphone and $40 per tablet. “Samsung chose to embrace and imitate Apple’s iPhone archetype,” Apple said in an Oct. 5, 2010 presentation to Samsung. “Apple would have preferred that Samsung request a license to do this in advance. Because Samsung is a strategic supplier to Apple, we are prepared to offer a royalty-bearing license for this category of device.” Apple also offered to give Samsung a 20 percent discount if the Korean company cross-license its portfolio back to Apple. Apple also sought royalties on Samsung’s non-Android smartphones, including those running the Symbian and Bada operating systems. For 2010, Apple estimated that Samsung would have owed Apple approximately $250 million, an amount it noted was far less than Apple was spending on components. The Oct. 5, 2010 offer was contained in the presentation, which was made public on Friday. Two months earlier, Apple warned Samsung as early as August 2010 that it believed the company was copying the iPhone and infringing on Apple patents.