Microsoft might be cutting Windows Phone license price to OEMs by 70 percent too

A few days ago, Microsoft confirmed (kind of) that it was drastically reducing the costs for OEMs to license Windows 8.1. Now there's a new rumor that the company could do the same for the Windows Phone license as well.

The report comes from PCMag.com, who quotes Joseph Ram, the CEO of the low cost Android phone maker Infosonics, as saying, "We're hearing Microsoft will drop the license fee quite a bit, as far as 70 percent, which will make their product more competitive in terms of price." He added that if this is true, Ram said that Infosonics would consider making Windows Phone devices. We have contacted Microsoft to see if they wish to comment on this report.

Earlier this week, Microsoft announced a number of new hardware partners for Windows Phone and also revealed the OS will support Qualcomm's lower end Snapdragon 200 and 400 processors. Those moves will almost certainly allow for smartphones with the OS to be made that will cost less than current models. All of this activity comes before Microsoft is expected to close the deal to acquire Nokia's Devices and Services division and the launch of the next major update for the OS, Windows Phone 8.1.

Source: PCMag.com

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about time

OEMs should have an easier time integrating Windows Phone since Microsoft has already done the hard work testing the OS with hardware

suprNOVA said,
Yaay. As much as I love Microsoft,they're software updating really sucks. I just wish they would do more updating

I wish they could've forced a more Windows or iOS updating, bypassing carriers. That said, this past year I think they over-extended their resources with Windows 8.1, Xbox One, and Windows Phone. Small wonder WP8.1 was scheduled for later

Chikairo said,

I wish they could've forced a more Windows or iOS updating, bypassing carriers. That said, this past year I think they over-extended their resources with Windows 8.1, Xbox One, and Windows Phone. Small wonder WP8.1 was scheduled for later

Something still gives me the feeling the Xbox One was released ahead of schedule.

Yeah and lets say it was, they should be releasing updates every week. Better yet, give the Xbox guys a developer blog to read up on. This generation doesn't need Major Nelson anymore, we need the real deal.

Good move, since OEMs should be seeing what WP8.1 has to offer. MS needs to realize the marketplace is where it'll make its money, not the OEM license. Though, I hope they do keep minimum standards in place...

they should have done this years ago. just like they should have combined the platforms (Windows and WP) on windows 8 born. They are following every footstep of google but with delay, can't they just don't fall into holes that others did? and skip ahead?

Hmmmm, they should make it Free!! I think OEMs are making a favor to MS to install their Mobile OS... and instead sell services for the Mobile OS.

mmjm said,
even Android isn't free for OEMs - they have to spend a ton of money on the OS and hardware, patent use, etc

That's why I'm saying it should be FREE, that way Android will lose market!

Smart move. Is this the new CEO doing what needs to be done?

At this point Microsoft should be willing to lose a lot of money to get more than their foot between the doors of the smartphone market. They cant efford to please shareholder's interest in quick gains, not right now. Hopefully the CEO can convince the board that this is the right direction.

People are saying that this and the other story before it might be the same. To MS at this point Windows is Windows, don't think they care if it's on a 8" tablet or a 4" phone. This could also explain why the list of new partners happened, also along with other hardware changes I think the overall costs have come down quite a lot.

Just removing the need to have the three hardware buttons is a big cost savings for example.

Good move. If it helps increase market share, they could end up making up the difference either in sales volume or through their app store.

+1. Maybe even go further and make it free. Let's see some or all of those struggling Android OEMs (probably everyone besides Samsung?) give WP an honest and strong push with good new devices (not just re-purposed Android phones) and see if they can grow their way to profitability.

Romero said,
+1. Maybe even go further and make it free. Let's see some or all of those struggling Android OEMs (probably everyone besides Samsung?) give WP an honest and strong push with good new devices (not just re-purposed Android phones) and see if they can grow their way to profitability.

But even free Android is not free, The OEMS pay fees to patent holders. I would even argue that they are paying more to use Android than the WP free

Agreed, they really needed this change. The higher volume sold will net them more in the end anyway. Now OEM offerings can be more competitive, and it helps after the big middle finger Microsoft gave to them when they started producing their own devices. Microsoft really needs to get that mindshare back.