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Software, Interrupted

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September 30, 2008 5:15 PM PDT

Windows Mobile licensing fees to remain intact

by Dave Rosenberg
  • 14 comments

Microsoft plans to continue charging handset makers licensing fees for use of its Windows Mobile operating system, not responding to the free offerings of Google and Nokia, Reuters reports.

Microsoft charges $8 to $15 per phone, according to research firm Strategy Analytics, which sounds shockingly high for a mobile operating system that's less than stellar, especially when a handset maker could incorporate the decent (but not great) operating system from Google, Android, for free.

While there is no current economic reason for Microsoft to make Windows Mobile free, it seems like an odd choice when mobile competitors Research In Motion, Apple, Nokia, and now Google have a far better shot at attaining market ubiquity than Windows Mobile does.

As we've seen with Mac OS and Linux on the desktop, fighting a monopoly is very tough. Microsoft dropped Xbox prices to gain game console market share and saw huge growth. You could easily make the argument that mobile phones are a more important market. As such, it's surprising that the company wouldn't try to annex handsets the way it has desktops.

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About Software, Interrupted

In "Software, Interrupted," Dave Rosenberg discusses disruption in the software market, as well as the products and services that keep business technology norms in perpetual flux.

With nearly 15 years of technology and marketing experience spanning from Bell Labs to multiple start-up IPOs, Dave co-founded open-source software company MuleSource and now serves as general manager of Hardy Way. He also happens to be a U.S. patent holder and a workaholic. Technology is his best friend and mortal enemy.

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