Microsoft to make upfront fee even before Nokia starts shipping hardware.
Microsoft is all set to pay Nokia a whopping one billion US dollars as part of the new distribution partnership announced earlier this year, according to a report from Bloomberg.
The report cites the trusted ol’ “sources close to the matter” who say that Microsoft will be forking out the cash upfront, even before Nokia starts selling hardware to customers.
As part of the deal, Nokia will pay an undisclosed sum to Microsoft for each unit of Windows Phone 7 sold through them, though the now reduced software development cost will probably offset this expenditure, according to the source.
Microsoft is showing tremendous trust on Nokia, and both the companies must be hoping that their partnership stands beneficial in the coming future. Let’s see them hardware first!