Microsoft Corp. is talking to HTC about adding its Windows operating system to HTC’s Android-based smartphones at little or no cost, people with knowledge of the matter said, evidence of the company’s struggle to gain ground in the mobile-software market.
Terry Myerson, head of Microsoft’s operating systems unit, asked HTC last month to load Windows Phone as a second option on handsets withGoogle Inc. (GOOG)’s rival software, said the people, who asked not to be identified because the talks are private. Myerson discussed cutting or eliminating the license fee to make the idea more attractive, the people said. The talks are preliminary and no decision has been made, two people said.
The willingness to add Windows as a second operating system underscores the lengths to which Microsoft will go to get manufacturers to carry its software. Microsoft, with a mere 3.7 percent of the market, is finding it more necessary to make concessions after agreeing to acquireNokia Oyj (NOK1V)’s handset unit, which competes with other smartphone makers.
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