Loose-lipped ZTE executive reveals the cost of Windows Phone, and it ain’t cheap

At the launch of the ZTE Tania a ZTE executive has told TrustedReviews that it costs between £15 and £20 for the company to license Windows Phone 7 from Microsoft.

The number has always been a closely guarded secret, but has always been believed to be in the $10-15 range.  If is is in fact t £15-£20 ($23-$30) it is likely close to the most expensive single component of a Windows Phone.

Even more interesting however is that Microsoft is believed to be collecting patent royalties from Android OEMs in the same range as their Windows Phone license fees, which would mean Microsoft could be collecting several hundred million dollars in royalties just from the US market each year.

Do our readers think Microsoft is overcharging and that this may be damaging the motivation of OEMs to sell Windows Phones, and also keeping the cost of the handsets high? Let us know below.



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Site Admin and Windows Phone enthusiast, he has been using Windows Mobile devices since before they were called PocketPC™s. He is currently sporting a Nokia Lumia 930.