ZTE Pays $23-$31 Per Phone to Microsoft, Says Executive
ZTE has just released its first Windows Phone, the Tania in the U.K. and one of the company executives was kind enough to disclose that the phone-maker is paying Microsoft £15-£20 ($23-$31) for every Windows Phone.
Redmond adopted the same strategy for Windows Phone as before, licensing out its operating system to OEMs for a certain fee. While the exact amount was not known until now, it was believed to be somewhat lower. Santiago Sierra, ZTE UK’s Portfolio Manager unveiled that these costs make the Chinese-made Windows Phones more expensive compared Android-powered phones for example.
However, Microsoft is working hard to strike licensing deals with as many Android OEMs as possible (HTC, Samsung, Quanta, Compal, Huawei, LG), cashing in anywhere between $5-$15 in licensing fees, closing the gap between the two expenses. ZTE U.K.’s statement coming from the executive is the first time exact amounts are being made public.