Microsoft, Nokia Deal Needs Speed to Succeed: AnalystsBy CIOinsight | Posted 02-15-2011
Industry analysts expect that the agreement between Microsoft and Nokia to port Windows Phone 7 onto the latter's smartphone devices will almost certainly change the mobile landscape in coming years. But, if the two behemoths are to succeed in their plan to combat Apple and Google, observers say they may need to execute their strategy with startup-style rapidity.
Concept images of a Nokia-build Windows Phone 7 are already floating around Websites such as Winrumors. Sleek and thin, the devices' designs seem tailor-made to counter high-end rivals such as the iPhone. The potential release date for such devices, though, remains an open question.
Nokia's agreement with Microsoft could help the latter penetrate the international markets where the former maintains a strong presence. However, Nokia's placement as dead-last among top mobile OEMs, according to the latest data from research firm comScore, suggests the deal's effect on the U.S. market could be somewhat more negligible.
Meanwhile, it remains too soon to tell whether Windows Phone 7 is living up to Microsoft's expectations for a new-and-improved smartphone franchise. Company executives claim that Windows Phone 7 is selling at a rate comparable to other first-generation smartphone platforms, but the exact number of devices reaching consumers' hands remains unclear. At the end of January, Microsoft confirmed that some 2 million Windows Phone 7 units had been sold by manufacturers to retailers.
For more, read the eWeek article Microsoft Nokia Deal Could Stumble on Timing.