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Taiwan phone makers balking at Windows Phone 7?

updated 01:30 pm EDT, Wed October 13, 2010

Taiwan phone firms say Windows Phone 7 too costly

Microsoft may have lost key Taiwan phone manufacturers after the costs and long delays for Windows Phone 7, companies based in the area reportedly said Wednesday. Most of them, including relative heavyweights such as Compal, Foxconn, Inventec and Pegatron, have committed to developing for Android over the next two to three years and aren't ready to switch. The Digitimes contacts further allege that they consider Microsoft's licensing fee too expensive when Google gives away Android for free.

As such, only a handful of companies may get into WP7 when it arrives, they added. HTC may end up controlling 70 to 80 percent of the market simply by being one of the initial partners. One of the likely remnants would be ASUS, which was a long-time Windows Mobile loyalist and should help create a Garmin WP7 phone for early next year.

The defections wouldn't be fatal to Microsoft but could erode one of its one-time advantages, as it regularly catered to small manufacturers that couldn't afford to develop their own platforms. Google has also depended heavily on major manufacturers but has deliberately waived licensing fees for Android since it expects to make up most of the revenue in mobile search ads.

Microsoft has usually tried to stamp out Linux-based platforms like Android by price dumping with Windows licenses, but the popularity of Android and the low prices Microsoft must already charge could make such an approach unfeasible.

by MacNN Staff



  1. JeffHarris

    Joined: Dec 1969


    A new world for MS

    Microsoft simply cannot dictate terms and pricing anywhere but the desktop.

    MS is so used to their 800 lb. gorilla status on the desktop, that they have no idea how to actually compete on a level playing field.

  1. Rezzz

    Joined: Dec 1969


    Funniest caption ever

    For those without a microscope, that's Windows Phone displaying a song by Modest Mouse called "Missed the Boat" off their album "We Were Dead Before The Ship Even Sank". So appropriate. And to think, their Phone Team had a mock iPhone funeral procession (complete with Thriller dance): . Over 50 million iPhones sold .. and Monky Boy is having trouble finding manufacturers. Lovely.

  1. bleee

    Joined: Dec 1969


    Microsoft SUE's Android manufacturers

    to subsidize Windows Phone 7 license fees :-P

  1. wrenchy

    Joined: Dec 1969


    Little Green Robot

    is going to get them too. No one is immune.

    Resistance is Futile.

    * DDrrrroid *

  1. coffeetime

    Joined: Dec 1969


    Mess up

    That sounds so mess up. If WP7 isn't selling in the next one year, that's the end of Ballmer regime.

  1. Gavin

    Joined: Dec 1969


    Right on!

    I hardly comment on these, but the "missed the boat" graphic is brilliant!

    Good job

  1. tightzeit

    Joined: Dec 1969


    Me make good iOS

    Uh. You give money. Me make good iOS. Uh.

    Plenty good, plenty banana.

    Me run, me jump, me yell.

    Plenty good iOS.

    Me make good stuff, really.

    Steve Ballmer

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