Microsoft considers free versions of Windows Phone and Windows RT to battle Android

[tezza]

Microsoft is considering making Windows Phone and Windows RT available free of charge to device makers. Sources familiar with Microsofts plans have revealed to The Verge that free future versions are under serious consideration by OS chief Terry Myerson. We understand the plans arent fully set in stone, but theyre part of broader changes Myerson is planning for the future of Windows. Microsoft is currently planning and developing future updates, including a "Threshold" update thats designed to bring back the Start menu and provide more flexibility for desktop users.

Were told that the free versions of Windows RT and Windows Phone would likely be delivered with the Threshold range of updates. Microsoft currently licenses Windows RT and Windows Phone software to device makers, and the majority of its Windows revenue comes from OEMs who build systems based on Windows 8 and Windows RT. While Microsoft generates revenue from Windows Phone licenses, Nokia dominates shipments of Microsoft-powered handsets with over 80 percent market share. Microsofts acquisition of Nokias phone business removes the largest source of potential Windows Phone license revenue.

We understand that any decision to axe the license fees for Windows Phone and Windows RT would be backed by a push for revenue from Microsofts apps and services. Microsoft has been experimenting with ads in Windows 8 apps, and any associated revenue from those apps and the companys built-in Bing search results would help offset the lack of license fees. Microsoft would also push consumers to subscribe to services like SkyDrive, Office, and Skype for additional revenue.

Microsofts thinking behind free versions of Windows is clear: drive demand and combat Android. At present, Nokia dominates Windows Phone, and PC makers have started to ignore Windows RT in favor of Windows 8 and Android. While device makers are flocking to Android for tablets and smartphones, Microsoft and Nokia are the only companies left shipping Windows RT products. Free versions of Windows RT and Windows Phone would likely push device makers to produce more products and in turn improve developer interest in building applications for the platforms.

Free platforms would target Android, and potentially Googles ad revenue something Microsoft is clearly interested in achieving. Microsoft CEO Steve Ballmer has previously admitted that consumer services "are tough," and any prospect for generating revenue is fraught with competition. "Other than phone companies, there really aren't many technology and large subscription consumer services, and outside of Google and maybe Facebook it is hard to find a business that is significant that is ad-funded," said Ballmer recently.

Previous reports have suggested that Myerson has been in discussions with HTC to cut or eliminate Windows Phone license fees if the software is loaded on HTCs Android devices. Its not clear if HTC has agreed to such a plan, but were told these efforts all align with the main principle of pushing free Windows Phone and Windows RT software to OEMs. Microsoft now has to decide whether free versions of Windows Phone and Windows RT are worth the risk worth the risk and the return.

http://www.theverge.com/2013/12/11/5199446/microsoft-considers-free-versions-windows-phone-windows-rt

Edited December 11, 2013 by jalaffa

[overload2014]

BY DOING THIS PLAN.. ANDROID WILL GET DOWN...

THE ONLY THING WHY ANDROID IS MOST TABLET/PHONE USED IS BECAUSE ANDROID OS BY GOOGLE IS FREE OF CHARGE...

WELL ANDROID VS WINDOWS .. YOU KNOW WHO WIN.. IF THEY ARE BOTH FREE

[Dodel]

BY DOING THIS PLAN.. ANDROID WILL GET DOWN...

THE ONLY THING WHY ANDROID IS MOST TABLET/PHONE USED IS BECAUSE ANDROID OS BY GOOGLE IS FREE OF CHARGE...

WELL ANDROID VS WINDOWS .. YOU KNOW WHO WIN.. IF THEY ARE BOTH FREE

Yes Android, Google makes its money from ads. Android is just another loss leader for their giant advertising and tracking platform.

Edited December 11, 2013 by Dodel

[PrEzi]

First of all overload, it is seen as impolite to write everything in uppercase (actually it is good that you haven't additionally used bigger/bolded fonts in red...).

Second -- why are you so sure ? The biggest difference between them two is not the price. Biggest difference is the ecosystem (Android is light-years ahead of Windows Phone) and that Android is an open-sourced and open system (again -- light-years ahead and Windows will never catch up in this area).

You have completely missed a point here.

Edited December 11, 2013 by PrEzi

[calguyhunk]

First of all overload, it is seen as impolite to write everything in uppercase (actually it is good that you haven't additionally used bigger/bolded fonts in red...).

Think he might be Indian. If so, then he's supposed to be rude, dammit! :P

It's our specialty, to be unbearably rude to absolute strangers, whether in the virtual world or in reality ;)

Edited December 11, 2013 by calguyhunk

[janedoe]

WELL ANDROID VS WINDOWS .. YOU KNOW WHO WIN.. IF THEY ARE BOTH FREE

No shouting please, and there is no automatic winner when it comes to Android vs. Windows Phone, even if both are free for OEMs.

Second -- why are you so sure ? The biggest difference between them two is not the price. Biggest difference is the ecosystem (Android is light-years ahead of Windows Phone) and that Android is an open-sourced and open system (again -- light-years ahead and Windows will never catch up in this area).

You have completely missed a point here.

Android is the market leader in the mobile segment, but nothing prevents it from being dethroned one day in such a fast-moving environment. Remember, it did this to iOS, which did it to Symbian, which... I agree with you though, the app ecosystem for both Android and iOS is years ahead of that for WP, but if MS does this it would make its platform more palatable to OEMs and as it gains market share slowly the app disadvantage will disappear. Already in Europe WP is growing at a fair clip and in some countries like Italy it has surpassed iOS already and is at #2 behind Android. MS is also pouring in a lot of money into it, with Samsung apparently being promised a billion dollars a year to release more WP products, so who knows? With more innovative and well-designed devices, more apps and more users, never say never when it comes to this industrty, that's for sure!

Edited December 12, 2013 by janedoe

[kn_andre]

WELL ANDROID VS WINDOWS .. YOU KNOW WHO WIN.. IF THEY ARE BOTH FREE

No shouting please, and there is no automatic winner when it comes to Android vs. Windows Phone, even if both are free for OEMs.

Nice Work Dear .... Its very good to Teach Good Manners and Etiquette here in the Forums.. Cheers..

[kn_andre]

First of all overload, it is seen as impolite to write everything in uppercase (actually it is good that you haven't additionally used bigger/bolded fonts in red...).

Think he might be Indian. If so, then he's supposed to be rude, dammit! :P

It's our specialty, to be unbearably rude to absolute strangers, whether in the virtual world or in reality ;)

My Oh My ..... The Pirate Strikes again with a Punch Line more Sharper than the Famed Captain Jack Sparrow .... I Laughed so Much my belly Hurt.. @calguyhunk you owe me Pain Killers for my Stomach ... Damnnnnn..... Am Still laughing as i Type this .... Enjoy you Weekend and Cheers..