I would have tried to negotiate a deal. If that failed, I would have abandoned making a C++ compiler.
Consider that at the time C++ and ObjectiveC were neck and neck, judging by the message volume on newnews. I rejected doing O-C because Stepstone demanded royalties for implementing it.
When Zortech C++ was released, an inexpensive native C++ compiler that was well-adapted to the 16 bit DOS model, C++ took off, and O-C sputtered and died. If AT&T had also demanded royalties, C++ would have been a failure, as cfront was not very practical.
90% of programming in those days was done on DOS, and Zortech C++ was top of the heap. If I may say so, Zortech C++ gave C++ the critical mass it needed to surge ahead.
My partner made the mistake of telling Eugene Wang of Borland how well ZTC++ was selling, and from the look on Eugene's face I knew we'd made a big mistake. Borland did an abrupt change in direction and went all in on Turbo C++. And the rest, as they say, is history. Microsoft also soon abandoned its object extensions to C and went with C++.