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Microsoft ditches Windows Phone fee for manufacturers

A pair of Indian phone manufacturers are the first to produce Windows Phone handsets for free, as Microsoft ditches license fee.

Microsoft seems determined to get more Windows Phone handsets out there, following a respectable year of growth in 2013, and has ditched the license fee for two Indian phone makers to get them on board. The manufacturers, Karbonn and Lava, already produce Android phones and now they’ll be rolling out Windows Phone devices with no OS levies imposed.

Microsoft waives the license fee for Indian manufacturers to get more Windows Phone devices made

Considering Nokia was reportedly charged between $20 and $30 by Microsoft for every Windows Phone smartphone produced, this is big news for prospective manufacturers. Nokia clearly got a lot of marketing in return from Microsoft, but that’s a serious cut out of profits, and many other phone makers – particularly in developing countries – probably couldn’t afford it.

The slashed license fees will hopefully be a recurring thing, with more manufacturers pumping out Windows Phone devices to rival Android and iOS. It’ll be interesting to see if the tactic works in Microsoft’s favour, when we check the final 2014 sales percentages.


Source: TOI


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