Apple Computer (AAPL) shares are down $4.47 to $257.56 and weighing on NASDAQ trading after Microsoft (MSFT) reached a deal with HTC over royalties on certain HTC phones running Google’s Android operating system. Microsoft did not say what technology in the phones the agreement concerns, but the deal makes it unlikely that Microsoft will join Apple in a legal patent dispute with HTC over Android phones. Apple has sued HTC over its Android phones alleging HTC infringed in iPhone patents. (HTC also said it expects a Windows 7 phone by the end of this year.) AAPL is down and 126K options already traded in the name, or 3X normal. Most of the action has been in smaller lots, with the exception of a May 260 – 290 call spread, apparently bought at $6.30, 4000X on NYSE.