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From ArsTechnica:

It's hard to see an area at Microsoft that isn't going through some degree of transition, and Windows Phone is definitely no exception. Having carved out a small piece of the market, Microsoft has taken some big steps to improve the position of its still fledgling mobile operating system. Its first step was to develop a close relationship with Nokia; the second step seems to have been to buy Nokia's handset division outright. But that move has spawned much speculation that Microsoft's handset partners are disgruntled and considering eliminating their Windows Phone portfolio. According to a report from Bloomberg, Microsoft may be making a big move to stem the tide by cutting or eliminating its licensing fee.

Bloomberg reports that conversations between HTC and Microsoft have revolved around the idea of HTC putting Windows Phone onto its Android handsets as an alternative. It's unclear how this would work, but it could mean that users would choose a handset model and then choose an operating system, similar to being able to choose between Windows and Linux in some notebook models. The prospect of a dual boot solution seems ludicrous and impossible to implement, but Bloomberg's reporting leans strongly in that direction. As enticement to pursue this strategy, the report states that Microsoft has offered to cut or eliminate the licensing fee.

  Rumor: Microsoft offering to drop Windows Phone license fee for HTC