Microsoft is struggling in selling its Windows Phone devices in India. So it's starting to give away licenses for free in India. According to The Times of India, Microsoft is waiving the Windows Phone license fee for two Indian handset makers; Lava and Karbonn.
Microsoft's software licensing has typically been a huge money maker for the company, but it's realizing that it needs to take more drastic measures if it wants to compete with Google's Android and Apple's iOS for market share.
Windows Phone licensing fees can cost anywhere from about $5 to $30 per device sold. Nokia, which signed on to exclusively make Windows Phones in 2011, was charged $20 to $30 per Lumia device.
Microsoft is likely hoping that waived license fees will attract more hardware partners, meaning more Windows Phone options for customers. IDC said Windows Phone OS has less than 10 percent smartphone market share in India.
In a further blow to Windows Phone, Huawei Technology's Chief Marketing Officer Shao Yang recently said that Google's Android was a higher priority than Windows Phone.
"We are still committed to making Windows Phone devices", said Yang. "Compared with Android, the priority of Windows Phone is much lower but is still one of our choices of OS. We are definitely using a multi OS strategy. With Windows Phone, one direction for us and one that we are now following is dual OS. Dual OS as in Android and Windows together”.
"If it is Windows only, may be people will not find it as easy a decision to buy the phone. If they have the Android and Windows together, you can change it as you wish and it is much easier for people to choose Windows Phone”.