Microsoft is reportedly following in the footsteps of its rivals by planning on offering its Windows Phone operating system for free or for reduced price.
For the past one year, the software giant has been in talks with Indian phone companies to produce affordable Windows Phone devices.
According to Cnet, the agreement was clinched after Microsoft agreed to offer the Windows Phone OS without the usual licensing fee.
Bob O'Donnell, principal analyst at Technalysis Research said that it was a calculated risk to see how it works, adding that with revenue generated by services added on top of the OS, business models would change anyway, hence, this was a chance to get their foot in the door.
O'Donnell also said that Microsoft was rethinking licensing fees with larger devices like tablets and said that the company had already lowered licensing fees for sub- 250 dollars PCs.