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Microsoft Doth Protest Too Much?


by on February 7th, 2009

Rumours continue to fly thick and fast that Microsoft is poised to launch its own range of mobile handsets, based on its own Windows Mobile OS platform. However, executives continue to deny outright that any such plans are in hand.

Given that such a strategy would, at best, annoy many of the handset vendors that partner with Microsoft to help power their devices - and possibly blunt future income from licensing Windows Mobile to such partners - it does seem unlikely that Microsoft would pursue such a path, especially in the midst of a recession.

And yet… Although such forthright denials are unusal in such a fast-moving industry, perhaps Microsoft is merely playing for time, keeping partners happy while a new iPhone challenger is being put together.

Given the relative ease with which rival Apple has swept aside rivals, the temptation must surely be too hard to ignore.

Reportedly, Microsoft is having a hard time selling its ageing and increasingly frumpy OS to vendors distracted by the snazziness of the iPhone user interface as well as the headline-grabbing Android platform. Also, its licensing costs may also prompt long-term partners to look elsewhere for future plans: both Motorola and HTC envisage an increased emphasis on Android.

The weak performance of its Zune portable digital media player may have dissuaded Microsoft from taking a direct stake in the handset market so far, but it may only be a matter of time before the company tries to at least test the potentially lucrative smartphone waters.

If it is brave enough to take on its principal competitor in computing hardware and software platforms, Microsoft will need to produce a very distinctive device with radical phsyical form and UI offerings to make much of an impact in a market that is already poised to experience some degree of consolidation or streamlining this year.

It’s a gamble. Is Microsoft willing to take the risk?

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One Response to “Microsoft Doth Protest Too Much?”

  1. Microsoft stores planned: Stage for own-brand Phones? | AnalystXpress – the Juniper Research Blog on February 13th, 2009 at 5:18 pm

    [...] I’ve already suggested that these protestations of disinterest might be an elaborate smokescreen, designe…. [...]

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