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Microsoft-Built Smartphone Could Irritate Hardware Partners, Harm Nokia

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."

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  1. Re:So... just like Google? by Threni · · Score: 5, Interesting

    Yeah, it's kind of funny that Nokia didn't want to be just another Android phone manufacturer, but now they've become just another Microsoft phone manufacturer.

    Still, I'm sure Elop is just the man to get Nokia out of this sticky situation. Perhaps Microsoft will give him his old job back, once the job's been done....sorry, I mean once Nokia is beyond economic repair.