Microsoft calls $2.6 Billion number “complete fiction”

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Long time industry pundit Eldar recently claimed Microsoft is paying around $2.6 billion to smartphone OEMs to release Windows Phone handsets.

He wrote:

Windows phone 8 in 2014 – Samsung 1.2 bln USD, Sony 0.5 bln, Huawei 0.6 bln, others – 0.3 bln. Thats “support” from MS to develop one (1!)hs

The numbers are rather large, which is likely what prompted Microsoft’s head of corporate communications to tweet:

reality check. Do we do co-marketing with partners? You bet! But these numbers are complete fiction!

Eldar’s numbers do have the quality of being pulled from his nether region, and I suspect besides making actual payments Microsoft is making lots of contributions by offering discounts on items like Android and Windows/Windows Phone licensing, with little money actually changing hands.

It is interesting however how widely these numbers were accepted without any proof at all. It seems difficult for the industry to believe an OEM would actually want to make a handset other than one running Android, which from the profusion of handset announcements running alternate operating systems like Firefox OS we know is not true.

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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.