Looks like Microsoft may be following in Google's footsteps.
Unnamed sources have informed The Verge that Microsoft's Terry Myerson is seriously considering offering future builds of Windows Phone and Windows RT to device makers free of charge. This move would be part of a broader set of changes that will supposedly take place in the "Threshold" rollout in Spring 2015.
A good portion of Microsoft revenue stems from licensing its operating systems to manufacturers of desktops, laptops, phones and tablets. However, on the phone front, that's about to change. Nokia was over 80 percent of Microsoft's Windows Phone sales, and once the acquisition gets the green light from all parties involved, that licensing revenue will be no more.
So how do you replace that lost revenue? How about throwing advertisements into Windows 8 apps for starters. Ads are already a part of the Bing search results in Windows 8, but all those free apps listed on Windows Store could be injected with ads as well. The company will also likely try to convince customers to subscribe to services like SkyDrive, Skype and Microsoft Office.
By taking the free route, Microsoft is obviously going after Google's share of the tablet and smartphone market. Google doesn't charge OEMs for using the Android platform, but instead makes its revenue from ads and media sales. Microsoft could do the same, and may even hurt Apple's market share in the process. Hey, you really can't compete with free.
Currently, Microsoft and Nokia are the only two device makers using the Windows RT platform. By eliminating the licensing fee, that scenario could change dramatically. Up until now, most PC makers have seemingly turned their backs on Windows RT, preferring to use Windows 8 Pro and Android instead. Microsoft is already reportedly talking with HTC in hopes of eliminating the licensing fee if the phone maker installs Windows Phone on Android devices.
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Looks like Microsoft may be following in Google's footsteps.
Unnamed sources have informed The Verge that Microsoft's Terry Myerson is seriously considering offering future builds of Windows Phone and Windows RT to device makers free of charge. This move would be part of a broader set of changes that will supposedly take place in the "Threshold" rollout in Spring 2015.
A good portion of Microsoft revenue stems from licensing its operating systems to manufacturers of desktops, laptops, phones and tablets. However, on the phone front, that's about to change. Nokia was over 80 percent of Microsoft's Windows Phone sales, and once the acquisition gets the green light from all parties involved, that licensing revenue will be no more.
So how do you replace that lost revenue? How about throwing advertisements into Windows 8 apps for starters. Ads are already a part of the Bing search results in Windows 8, but all those free apps listed on Windows Store could be injected with ads as well. The company will also likely try to convince customers to subscribe to services like SkyDrive, Skype and Microsoft Office.
By taking the free route, Microsoft is obviously going after Google's share of the tablet and smartphone market. Google doesn't charge OEMs for using the Android platform, but instead makes its revenue from ads and media sales. Microsoft could do the same, and may even hurt Apple's market share in the process. Hey, you really can't compete with free.
Currently, Microsoft and Nokia are the only two device makers using the Windows RT platform. By eliminating the licensing fee, that scenario could change dramatically. Up until now, most PC makers have seemingly turned their backs on Windows RT, preferring to use Windows 8 Pro and Android instead. Microsoft is already reportedly talking with HTC in hopes of eliminating the licensing fee if the phone maker installs Windows Phone on Android devices.
- PreviousSteamOS to be Released on Friday the 13th
- Samsung Galaxy Note 3 Lite Reportedly Entering Production
- Android Device Manager Allows You to Find Lost Phones
- SilverStone's Mini-ITX Raven RVZ01 Pictured Again
- Steam Machines Shipping to Beta Testers Friday
- Canadian Residents: Win a Nexus 5 from Virgin Mobile Canada
- Tesoro's Gandiva H1L Gaming Mouse Has 128 Kb of Memory
- Oppo N1 Hits Europe and the U.S. Right On Time
- Scythe Reveals Limited Edition Ashura Shadow CPU Cooler
- EKWB's EK-Ascendacy Cooling Controller is Water Cooled
- Blizzard Finally Opens Shop in World of Warcraft
- NextDell Launching Chromebook 11 in January
- MSI Makes 'Lite Edition' of its GTX 780 Lightning
- Sony Has a New 2-in-1 Flash Drive for Android
- Bethesda Reveals Elder Scrolls Online Release Dates
- Microsoft Adding New Security Features to Accounts
- Ubisoft Shows Impressive "The Division" Snowdrop Engine
- White Water Block from EKWB for the White GTX 780 Ti HoF
- Blockbuster UK Shuts Down Entirely
- Inter-Tech Intros its Simple IT-3900 NUC Enclosure
- Death of Windows 7 OEM Sales Posted in Error
- Oculus VR Gets $75 Million in New Round of Funding
Related Content
- Microsoft Launches Student Advantage with Free Office Suite - news
- Microsoft's Frank Shaw Slams Apple's Free iWork Software - news
- Microsoft Nukes Rumors of Kinect-Free Xbox One - news
- Microsoft UK Offering Free Xbox Live Gold This Week - news
- Next Major Windows Update "Threshold" for Spring 2015 - news
- Windows Spring 2015 Update Codenamed "Threshold" - news
- Microsoft Sued For 32GB Surface Model Offering 16GB Free - news
- Microsoft, Dell Releases Free Windows 8 for Dummies, More - news
- Microsoft Gave Everyone at BUILD Free Surface RT, Lumia 920 - news
- Microsoft Offers Free Wi-Fi in NYC, SF to Promote Windows 8 - news
- Sony Copies Microsoft, Offers Free PlayStation for Students - news
- Help Microsoft and Get Free Software in Return - news
- Microsoft Flight Will Offer Free-To-Play Model - news
- Microsoft Launches 'Buy PC, Get Xbox Free' for Students Program - news
- Microsoft Gives More Free Software to NGOs - news
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