Microsoft plans to continue charging licensing fees from handset makers for using its mobile operating system and not follow the free offerings of Google and Nokia.OSLO
(Reuters) - Microsoft plans to continue charging licensing fees from
handset makers for using its mobile operating system and not follow the
free offerings of Google and Nokia, Chief Executive Steve Ballmer said
on Tuesday.
The pressure on Microsoft's high licensing fees has increased over
2008 with Google rolling out free Android technology and Nokia offering
to buy out others from Symbian and also make its software royalty-free.
"We do," Ballmer told Reuters, when asked whether his firm would
stick with licensing fees. "We are doing well, we believe in the value
of what we are doing."
"It's interesting to ask why would Google or Nokia, Google in
particular, why would they invest a lot of money and try to do a really
good job if they make no money. I think most operators and telecom
companies are skeptical about Google," he said.
Google tries to promote Web surfing on phones and the use of their
services such as e-mail and search so they make advertising revenue.
"In the case of Nokia - are they really open sourcing, or are they
really making Symbian their own operating system? We have to wait and
see," Ballmer said in an interview.
Microsoft's market share in smart phone operating systems has stayed
at about 10 percent for several years, despite the U.S. technology
giant's efforts to win more.
Microsoft charges $8 to $15 per phone, according to Strategy Analytics.
"Handset makers are skeptical of Nokia, operators are skeptical of
Google, I think by actually charging money people know exactly what our
motivations are," Ballmer said.
He said there was no reason to expect Microsoft to enter the mobile phone making business, like some analysts foresee.
"I do not anticipate us building a phone. Sorry, we are not going build one," Ballmer said.
(Reporting by Tarmo Virki; editing by Jon Loades-Carter)
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