Currently, Microsoft is licensing Windows Phone OS and Windows RT OS to OEMs at a nominal rates. According to some reports, Microsoft charges around $10 – $15 for each Windows Phone OS license and $35 – $50 for Windows RT license. Today, The Verge reported that Microsoft is planning to offer free versions of Windows Phone OS and Windows RT to OEMs to combat the invasion of Android and Chrome OS.
Licensing Windows for free could lead to potential revenue loss for Microsoft, but they will try to compensate it by selling subscription services like SkyDrive, Office, Skype and more. Also there is a great advertising revenue opportunity, thanks to new Bing apps and Bing Smart Search that comes with all Windows RT devices. According to the report, this plan of offering free Windows licenses to OEMs will happen in the time frame when Microsoft will be delivering the “Threshold” updates for Windows in 2015.
I think this is a right way to take of Google which is offering free Android and Chrome OS to OEMs. What do you think?
Source: The Verge