Microsoft intends on making its Windows Phone platform free for its Indian partners (read as Xolo and Karbonn) in order to bring affordable smartphones to the market. Microsoft usually charges between $5-$15 as license free and has even charged Nokia a fee between $20-$30 for licensing its operating system.
Google's Android operating system is free for OEMs and that has been one of the primary reasons for the manufacturers to go in for it and bring low cost devices to the market. Once Microsoft waives off its fee for its Indian partners who have brought some really value for money smartphones to us, we can surely expect a lot more Windows Phone at lower price points.
This is a part of the company's strategy and will be exclusive only to its Indian partners for the time being. Let us see if Micrósoft teams up with more Indian brands like Micromax in an attempt to launch more and more budget smartphones.