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Microsoft-Built Smartphone Could Irritate Hardware Partners, Harm Nokia

Posted by samzenpus on from the upsetting-the-balance dept.

Nerval's Lobster writes "Rumors have circulated for weeks that Microsoft intends to release a smartphone of its own design and manufacture, embracing the strategy that drove Apple's iPhone to such enormous success over the past few years. While releasing a branded smartphone offers several potential benefits—look at the revenue and brand recognition Apple's earned as a result of the iPhone—such a strategy also carries significant risks for Microsoft. First, it could alienate smartphone partners such as Nokia, which would find itself competing against a high-end device backed by Microsoft's sizable marketing dollars. (Given the Finnish phone-maker's already perilous situation, that could prove ruinous.) But a branded smartphone could also convince hardware manufacturers that Microsoft really is 'all in' on building its own devices, which could lead to all sorts of drama."

2 of 100 comments (clear)

  1. Re:So... just like Google? by Anonymous Coward · · Score: 5, Informative

            Nexus One smartphone, manufactured by HTC, released January 2010
            Nexus S smartphone, manufactured by Samsung, released December 2010
            Galaxy Nexus smartphone, manufactured by Samsung, released in November 2011
            Nexus 7 tablet, manufactured by Asus, released July 2012
            Nexus Q, a media-streaming entertainment device, released June 2012
            Nexus 4 smartphone, manufactured by LG, released November 2012
            Nexus 10 tablet, manufactured by Samsung, released November 2012

    that different

  2. Will they re-use the Kin brand? by kroyd · · Score: 4, Informative
    I'm sure lots of people here remembers the previous Microsoft produced phone, the Microsoft Kin series of phones. After all, they lasted all, oh, 4 weeks? 40 days? Something like that.

    There is probably a lot of "slack" in the Windows 8 phone pricing as well - if the Windows RT "OEM license fee" is 80-95$, the Phone OS OEM price can't be far off. I'm sure Nokia, HTC and Samsung won't mind if they've got to add an extra 80$ in cost for each phone they produce which Microsoft doesn't have to worry about..