Samsung would likely seek to lower the payment to about $10 in exchange for a deeper alliance with Microsoft for the US company’s Windows platform , the Maeil Business Newspaper quoted unnamed industry officials as saying.

Samsung had no immediate comment.

In April last year, Microsoft said it had reached a licensing deal with Taiwan’s HTC, under which it would receive royalty payments on its handsets running Android.

The move comes as Android phones gain in popularity.

Microsoft charges handset makers such as HTC and Samsung to use its Windows mobile software and has tied up with Nokia to challenge Google and Apple in the smartphone market.

Analysts forecast Samsung to have sold about 19 million smartphones in the April-June quarter, with the dominant position running on Android. It is widely expected to emerge as the No. 1 smartphone maker, replacing Nokia’s more than 10-year reign.

Samsung’s Galaxy S II, successor to its flagship Galaxy S smartphone, which runs on the Android platform, has sold more than 3 million units since its debut in late April.