One of the more interesting announcements out of the BUILD conference today was Microsoft’s announcement to make Windows free for a whole host of devices. Traditionally OEMs have paid up to $15 per handset sold as licensing fee for Windows Phone 8. This has proven to be a hindrance in the growth of the operating system especially in the lower segment. With cost sensitive players like Micromax getting on board the Windows Phone bandwagon, this move makes all the more sense.
Another benefit of removing the licensing fee will be in attracting handset manufacturers towards introducing more Windows Phone devices as they will no longer have to pay any licensing costs to Microsoft. It is a well known fact that Android OEMs have to pay Microsoft between $3-$6 as a patent licensing fee for every Android device that they sell. By opting for Microsoft’s free operating system, this figure can be removed from the equation which’ll give them a bigger incentive to introduce Windows Phone handsets.
The announcement states that Windows will be made free for all devices under nine inches and this includes tablets too. Referred to as Windows for Internet of Things, it will include an year of free Office 365 access. The move comes at an interesting time as Microsoft faces tough competition from the likes of the Google Chromebook and Android tablets selling at impossibly low price points. This should help in driving adoption for Windows based products both by OEMs as well as end consumers should the manufacturers choose to pass on the savings.