New Microsoft email reveals shifting mobile strategy, claims Windows phone investment 'not at risk'

Microsoft recently announced further changes to its smartphone strategy around Windows 10 Mobile with further layoffs centered around the Nokia Mobile acquisition. Now that Microsoft's retrenchment is in full swing many see this as the end of Microsoft's mobile ambitions, but a new internal email suggests otherwise.

Instead, security, management, and Continuum capabilities are the focus for Windows 10 on smaller screens. Even more interesting is the shift in markets with Microsoft investing in individual ones, but pulling back in others like India and Brazil.

Make no mistake about it Microsoft's smartphone strategy is drastically changing, but change does not mean the end either.

Regional changes

According to an internal memo from Microsoft sent to partners and obtained by Windows Central, Microsoft will concentrate on these "core markets" for its smartphone business: US, UK, France, Germany, Poland, Australia, and Western Europe (Austria, Belgium, Denmark, Finland, Ireland, Italy, Netherlands, Norway, Portugal, Spain, Sweden, Switzerland)

To anyone living in India or Brazil, it has been more than obvious that Microsoft has drastically pulled back support for Lumias in those countries. The latest data on India suggests a mass migration away from recent Lumia devices. That feeling is now evidenced by Microsoft's revelation of its strategy here.

No reason is given for the change, but it is very likely to do with the Microsoft's focus: high-end and premium devices that are aspirational. Microsoft will no longer make budget Lumia phones. However, that is not equivalent to no budget Windows 10 Mobile devices. Microsoft wants – and expects –OEM partners to pick up their slack for those markets with their own hardware. Microsoft will then support those companies by working closely with them.

The problem now, however, is evident. Countries like India and Brazil – both former hotbeds for Windows Phones – no longer have any partners selling in-demand hardware. With Microsoft pulling back and partners not yet stepping up, there will be a worsening gap in those countries and others not mentioned in the memo.

While Microsoft's own hardware will be shrinking from various markets those in the US, UK, and Europe will have a renewed focus. The partner memo goes on to mention that this "streamlining of the business will result in changes to Lumia's global sales and distribution network" details of which will be forthcoming. To my ears, that sounds like more layoffs in particular markets.

It's just business, folks

Perhaps the biggest shift for Microsoft's own smartphone ambitions – at least for hardware – is the demographic. No longer are they pursuing a general smartphone user base, but rather businesses and enterprise. Microsoft claims that they will focus "where we've seen the greatest success – businesses for which security, manageability, and Continuum are important, and consumers who value the same" going forward.

One thing needs to be separated here, however. Microsoft is speaking about their own hardware plans, not the Windows 10 Mobile the platform. The latter is something for which they see many uses for but are leaving it in the hands of partners. What Microsoft is referring to in this memo is what they are planning for phones, but not the full platform.

It should be clear that Microsoft will only focus on a narrow, niche market for their hardware leaving the rest of the mobile pie for other companies. If this sounds even remotely like Microsoft's Surface strategy, then you have been paying attention.

Continuum is their future

Finally, Microsoft sees three core areas of strength for their work in mobile. These areas include security, manageability, and the Continuum experience.

Microsoft notes that these are "are important to our commercial customers" and they are already "strong differentiators for Windows on mobile devices".

Much of this sounds like Microsoft getting back to their roots. A strong argument can be made that when Microsoft jumped from Windows Mobile 6.x to Windows Phone 7 they completely dropped the ball on enterprise support. While the company added bits and bobs for security and management over the years, Windows Phone was strictly a consumer play, and the company lost any standing it had with commercial ventures for its mobile products.

It now seems like they will put all of their might behind that effort and forgoing a strong consumer play as Apple and Google are doing too well in that market for now. That is not to say the so-called prosumer segment won't see value in Microsoft's mobile hardware ambitions, but rather we will see the company circle the wagons around its enterprise base going forward.

Microsoft's recent announcement with Citrix should be seen as further evidence of this strategy.

Doubling down?

Much has been made of Microsoft's recent moves in mobile and with good reason. Market share is dropping, the Lumia line has been slashed, and Windows 10 Mobile in its current state is far from ideal. Throw in the closing of factories, the elimination of jobs of highly skilled and talented (ex-Nokia) employees, and Microsoft's own history and it is easy to come to the conclusion that we are seeing the end of Windows phone.

However, that is not the case. That is not to say all is perfect, either. Instead, the company is pulling out of the highly-competitive (and oversaturated) consumer market and building a base around business and enterprise. Also, Nokia's former strategy stretched them too thin in markets with razor-thin profit margins that are only getting worse due to low-end Android devices.

As a result, Microsoft's goal is to "focus our investments where we are seeing the greatest success". Unfortunately, that means abandoning emerging markets, but only for their own hardware, not for the platform. Windows 10 Mobile lives on, but Microsoft won't be carrying the hardware torch any longer.

Here is what Microsoft is telling their own partners about their plans, and it is quite unequivocal:

I want to assure you that your investment in Windows phones is not at risk. The mobility of the Windows 10 experience remains core to our More Personal Computing ambition. We will continue to support and update the Lumia devices that are currently in the market, and the development of Windows 10 phones by OEMs, such as HP, Acer, Alcatel, VAIO, and Trinity; as well as develop great new devices. We'll continue to adapt Windows 10 for small screens. We'll continue to invest in key areas – security, management, and Continuum capabilities – that we know are important to commercial accounts and to consumers who want greater productivity. And we'll help drive demand for Lumia devices.

The "as well as develop great new devices" part is telling too as it reaffirms that Microsoft themselves will continue to make new mobile hardware, just not in the same way Nokia did in the past. I have previously reported that a "Surface phone" may come in spring of 2017 and that device would reflect this new strategy.

There are a few points that should be more than clear at this stage:

  • Under Nadella's leadership, Microsoft is undoing much of the Nokia Mobile acquisition
  • Microsoft is essentially surrendering the consumer smartphone market to Android and Apple, although they maintain a presence through robust software and services support on those platforms
  • Microsoft is re-engaging enterprise and productivity, and that includes mobile too
  • Continuum is not a gimmick to Microsoft, and they see it as a real differentiator
  • Microsoft will only be selling their mobile hardware in similar Surface markets
  • Their new mobile strategy reflects the earlier Surface rulebook: build only premium, aspirational devices, but leave the majority to your partners

None of this is to say Microsoft's new pivot will work, but in many ways, the expectations are now very different. There is no longer a "Mobile" division in a formal sense at Microsoft. Under Terry Myerson, Windows 10 Mobile is just Windows 10 development with some shell modifications and telephony. Hardware falls under Panos Panay, who oversees all Microsoft device design. Costs are folded into current and forthcoming product roadmaps for all of Windows 10.

Can Microsoft finally find some grounding in mobile through their roots in enterprise?

Lumia 950 and Surface

Lumia 950 and Surface (Image credit: Windows Central)

Maybe. It's certainly a tall order, but if there was an area that Microsoft has always excelled in it was productivity. Sprinkle in support the Universal Windows Platform, Citrix virtualization, the hardware designs of Ralf Groene, Kate Bailey, and Panos Panay and you still have some interesting magic that can happen.

Ironically, had Microsoft taken such a position in 2007 instead of going all in on the consumer market, they could have been in a position of strength in 2016 instead of weakness. Nadella and the current leadership seem to be righting the ship, but it's so far past due it comes off as a bit desperate. None of that changes the fact that this is likely the right strategy for the company to take even if it is absurdly late.

Daniel Rubino

Daniel Rubino is the Editor-in-chief of Windows Central, head reviewer, podcast co-host, and analyst. He has been covering Microsoft since 2007 when this site was called WMExperts (and later Windows Phone Central). His interests include Windows, laptops, next-gen computing, and for some reason, watches. Before all this tech stuff, he worked on a Ph.D. in linguistics, watched people sleep (for medical purposes!), and ran the projectors at movie theaters because it was fun.

  • That's too bad that they abundant Indian market for phones....
  • I'm now curious how's the market performance of Lumia and the rest of Windows mobile/phone devices there. It's really a shame they're now pulling but from emerging markets where its still seems flexible for Windows phones to thrive, unlike developed and western markets where most people are "locked" into Android and iOS devices. This also means it's hard now to recommend Windows mobiles to most people I know because of the seemingly lacked of entry-level nor mid-range Microsoft devices, unless other OEMs exist very well on those markets. Sent from Turing Machine
  • People did buy Windows phones here b coz of Nokia, but with all the Chinese OEMs entry the value for money in Android phones is just too good to even consider a Lumia. And yes, I am mentioning only Lumia as no other Indian OEM sells Windows phones here (atleast not actively).
  • Indeed, though part of it is more than just the Chinese OEMs. Motorola's budget stuff was priced better than Nokia's/Microsoft's 520 follow-up. The 530 series was more expensive than it should have been, as it didn't offer added value. It was too easy to migrate.
  • I think they must stop depending on OEMs. I guess they must understand no one cares for WP. They have to work just as Nokia did. Why are they still relying on OEM. Taking all OEMs announced during Build 2015 and 2016, hardly some have turned up. And those who have have limited availability. Many WP fans feel disappointed now. Sent from my Lumia 950
  • Exactly. Which partners and OEM are they talking on these emails? Nobody is showing up. Nobody will show EVER!
  • Hey OEMs, this is MS... we have failed in making money on our mobile business we botched it up... want to join us?
  • HP Elite. At least HP looks willing to try a pitch to business customers. I use Office at work. My work calendar and email are important. Having all of that embedded in my phone is ideal for me. A big reason for my Windows phone.I can see someone who does not use Office, etc. seeing no value in Windows phone, lots of people are drop into Office stuff and appreciate the integration.
  • Hey Microsoft, this is every Android maker aside from Samsung, we're bleeding money on this platform, so we may as well lose money on yours too! What's a few lost dollars between friends. 
  • Just remember, a lot of android OEMs are broke selling the major mobile OS.
  • But that's how MS have always done it with Windows. I'm not saying the situation is at all ideal, but they're trying to do what they did with Surface. Build an exemplar product, offer unique software, give OEMs the room to produce what they want. It leaves Microsoft to focus on what they do best - software.
  • That's exactly it and like Surface, it will take time. It's still funny in hindsight how much people/tech media hated Surface and the strategy for a good two years before it caught on.
  • What worked with a rather new category might now work with mobile phones. Being hopefully optimistic is not what consumers want to be. Windows phone and Lumia is dead. Period. Windows 10 mobile will live and thrive where Microsoft wants it to be, just not in places where Windows Phone was. Sad.
    Also Nokia as a brand got washed away in this whole drama. I hope there new tentative outing with android is worthwhile. Posted via the Windows Central App for Android
  • Well with Vista, Windows 8 and Windows phone it never caught on.
  • Because most of those clowns see their "device" preference as they would a sports team... They know they like something and will back it no matter what. Most didn't hate the Surface line, they just know they blindly follow Apple or Android where ever they tell them to go.
  • The same could be said about sticking to Microsoft products. ;) At least people dared try something besides Microsoft when it came to mobile. Sure, Android isn't what it really promised to be, but Google was far more aggressive at catering the developers and users than MS - which is quite unfortunate for MS.
  • @Daniel Rubino  I see what they're hoping to do, but, I don't think it will work out and have the Surface line's success. At the time of the Surface release, there was a need, demand or consumer interest in a more portable laptop/tablet form factor/device. With the alleged Surface phone device, based on Microsoft's emphasis on Continuum and universal app features being the highlights of the alleged phone, I don't think the phone will fill a need or gap in the business, nor consumer market. The same can be said with apps on the desktop, people aren't really interested in using them on Windows 10. It's interesting on paper but not very pragmatic. And with more and more major companies pulling their apps from the Windows mobile platform, the allege phone will be DOA, as far as a smartphone is concerned, without apps. Also, Dan, this article was put together very well. It was thorough, balanced and fair.
  • The so called Surface Phone will in my mind not be a traditional phone at all. My guess would be a 6-7 inch device that has the power of a cheap laptop, does calls and features Continuum on a massive scale mayne even a dock so people will replace their laptop and phone with Surface. Microsoft has to be very forward thinking with this device and create a new market to exploit because the traditional model is never going to work for them.
  • @blackprince Yeah, I envision the same thing as you've described, but, I like I said, it might sound good on paper, but is there really a demand or need for such a device? I don't think so. I don't think a deivce, as described will be able to realistically replace a laptop and IOS/Android smartphone: nor the convenience of an IOS or Android ecosystem. I can't see the reason why a business would choose such a limited and niche device over a current popular device/platform that is working for them. We'll see, but I think it's a HUGE presumption and gamble on Microsoft's part, that such a device is needed. The same thing can be said for universal apps and apps on PCs. 
  • This is exactly what Microsoft's vision seems like - instead of "smart phone" rather call it a "ultra portable MOBILE device" that is highly productive and can replace phone, tablet, and laptop for most users - consumers to business users- and out of many things it also let making phone calls
  • Big diffrence, the surface is a full PC and has a vast library of applications.  The phone does not.  No partner in their right mind is going to come to windows phone just becasue they make a surface version and it looks pretty.
  • There is a fundamental difference between these 2 scenarios. Surface ran an OS which is the most used desktop OS in the world. The MS premium phone will run an OS that is the least used mobile OS in the world. So, people will need to leave their currently preferred platform and adopt both new hardware and software. Incredibly difficult task. Look at the fate of Kindle phone. No one even bothered though Kindle brand is fairly popular. So, IMO, this is the end of Windows Phone. Really sad as this is a platform that I loved using the last few years and still enjoy using it. But, for my next device, I will need to reluctantly choose one of the other 2 platforms.
  • Your right there is a huge number that have the old view that whatever the last thing was was better.... where MS is concerned. Look at thurr... hes almost a mental case these days. He has more 2in1s and PCs than most stores yet continues to use a NUC he has problems with for podcasts  so he can bag stuff. Surface is doing good and is the only thing propping up the tablet market today. It would be an interesting article to see the real figures for tablets without 2in1s,    
  • Only Surface is on a dominant platform, unlike Lumia/WP.  
  • Wait, what happened to the theory they were flooding the market with entry level phones so the people in those country's would choose windows mobile flagships when they chose to upgrade????
    MANY articles were written here about that @danielrubino.
    Just be honest with us Dan Microsoft has NO clue what they are doing in mobile one minute from the next
  • Soil2oil speaks truth. Posted via the Windows Central App for Android
  • That's because OEMs were already making Windows devices and would have continued to do so as evident now and they needed the direction which MS gave in the form of Surface. In phone segment, nobody makes Windows Mobiles, they have to be the apple if they want to have presence in market, means create the devices and sell em, upgrade them and have a better experience. But they screwed up big time. I don't know, they invested lots of money behind Bing and other loss making products which are still not showing the growths they should have, in mobile segment, they could have done better by just pricing the right. People actually need 3rd alternative.
  • Money is not made with low end hardware it is made with software and high end (Premium) Phones. Like apple, Microsoft should have only made Premium phones from the beginning.
  • That is what they want to do. As Dan said, the Surface strategy took 2 years to catch on but not lots of important OEMs are making 2-in-1's and not saying they want them with another OS. Same with the new mobile device. If the device itself catches on, the OEMs will make similar devices too, and with W10M
  • Microsoft had and has a grand plan for mobile. The problem lies on the consumer side where the decision was made to cut the Nokia staff who actually made the Lumia brand marketable and was in actually growing the market which left a huge almost empty but not really gap for us consumers but still have the 950 and 950xl that keeps wp alive. They gave up the greater market at least for now unless or until the OEM make the decision to go after it because there is always room for another. Microsoft started those bridges of which will take some time but a major set back with Android is the on going Sun suite which I really think came about because of Microsoft's plan of bridges for developers and connecting to Android's Playstore to run those apps in Windows. This created a stoppage and I think that is a tactic by Sun to stop Microsoft because they are not the best of friends even bitter. But Microsoft should continue with their patience and do have some good efforts like the Bridges.  I don't think it will be long before the partners build products which I expect we will see pretty soon actually starting with the Redstone update taking advantage of the back to school and Christmas time frames.
  • Why should OEMs use the locked down Windows mobile when they have the customizable Android?
  • "locked down" as in "You cannot load your bloatware on it"? I've actually seen bloatware on Lumias (albeit carrier locked ones). Other than that, yeah, you're "stuck" with the Windows home screen experience. Which is insanely customizable (FAR more than Android's) out of the box.
  • They have to use Snapdragon chipset only. They can't add finger print scanner because they have to wait for Microsoft. Wait for Microsoft to do everything.
  • They can already add the finger print sensor if they want, since it's already on Surface. And thanks to One Core, it can be added on OEM phones as well
  • That is just one example. What if Samsung wants to add something like Edge screen on Windows mobile or multi-windows? Samsung can't. Windows mobile is equivalent to stock Android. How many Android OEMs prefer stock OS?
  • Windows Phone has always been a hybrid of the iOS/Android system. They didn't want OEM's making a mess of their OS.
  • if they want in, Microsoft could let them and maybe even help them build the API for the edge screen "How many Android OEMs prefer stock OS?"
    I think the appropriate question should be "How many Android users prefer stock OS?"
  • I think the appropriate question should be "How many Android users prefer stock OS?" They use whatever the carriers and the OEMs pushing to them. Obviously they are not pushing Windows mobile. Neither is Microsoft.
  • Disagree about that. You can download thousands of different launchers from the Google Play Store. Plus you have Widgets for most apps. 
  • Most of the launchers are basically different ways of showing icons. Widgets are horribly inconsistent and if you're lucky you can fit three or four on your screen. Live tiles are consistent (although I agree that transparency has introduced a variable, and I believe not enforcing theme colors across all tiles was a mistake to begin with), functional, and the "endless scroll" approach of the home screen offers unmatched possibilities. I would agree, however, that how you manage your home screen is a matter of personal preference. That said, Windows' home screen is one of its differentiating factors.
  • Where has the author of this article been for the last 10 years? Hasn't he ever heard of BYOD? If anyone remembers that was also Blackberry's final play -- the enterprise. And how did that turn out. The only thing Microsoft is headed for is being just as irrelevent as IBM. We need to call Nadella's last 2 years of "mobile first" strategy for what it truly is --- A DISASTER!  
  • Except by mobile first he meant every type of mobile. Microsoft software is now everywhere, just as he envisioned. 
  • Not on very many phones 'everywhere' though.  Which is a real pity.
  • True, but he has also had his hands full cleaning up Balmer's Nokia mess.
  • And guess who owns the biggest BYOD managment system... bingo it's microsoft. So unlike IBM (which is far from irrelevant in businesses) and unlike Blackberry, MS has cash to burn if/when they want to come back to the consumer market. Because they own and control the largest managent system they are also guaranteeing that it will be compatible with w10 making the switch easy for IT departments.
  • MS would have surely got some market,if only had they priced thier phones correctly
  • Maybe. They did it with the Lumia 520, and it did OK. It also didn't seem to lead to long-term consumers, I'm guessing. Those markets weren't buyign a Lumia, then another, or a Surface, or whatever else, to make the investment worth it. However, they definitely missed the mark when they pushed the successor devices higher than those markets tend to allow.
  • The problem was they didnt have the hero phone to pull people past the entry. Looking at customers this is their cycle.  Get a cheap device, once they get cash or carrier credit, they upgrade to the best option.  With TMO they have the 521...then what...the 925?  a 4.5in flagship?  They needed 3 phones, 4-4.5in, 5-5.2in, 5.7-6in, being sold on all carriers.
  • The moaning about the 950 pricing is, in my opinion, too heavy. Fans wanted a super-duper phone with high-tech features and the latest hardware and a big battery. It was never gonna be cheap. Add to that the fact that MS will not be producing as much as companies like Samsung and Apple, and they've got less units to spread their costs over.
  • and yet they managed to make the 950 and 950X  ​massively cheaper than Samsung and Apple flagships.
  • When you say cheaper do you mean parts, sale price or build quality? Samsung phones are nice, but way over priced.  I think I'm going to buy a iPhone 7 and get the most expensive one I can (saving for it now).  I tried it once with the iPhone6 but it was too small so I sold it got most of my money back.  When I sold my 950XL I had to do so without the doc to get the price low enough for someone to buy it.
  • I meant sale price. If you think Samsung phones are overpriced, you shouldn't buy an iPhone as it is the most overpriced phone out there. Mind you, the iPhone is an excellent piece of hardware and iOS isn't bad if you're a consumer, but buying an iPhone (or any Apple product, for that matter) basically means spreading your buttcheaks and closing your eyes. A lot of people are fine with that, and I don't contest them, but if you buy any phone, do it for the right reasons.  
  • By priced correctly I''m guessing you mean cheaply. Microsoft doesn't want to be in the low-budget business. They're a tech behemoth and it makes more sense for them to focus on more profitable business. OEMs who are in the low-budget business can make Windows 10 devices if so inclined. 
  • Thus ending the "wen in india" comments... Cuz never
  • Or we start getting "why not India" every time.
  • To fill the gap I plan to start putting "wen in Poland" :-), 'coz we still don't have Cortana here.
  • My thought is that while there is a market, it doesn't make them money. It doesn't lead to long-term financial investments. In those less-wealthy markets (India, Mexico, Brazil, etc.), I'm guessing brand loyalty is less fierce. Instead, people might be fairly new to these brands as they dip their feet into the world of smartphones for the first time. As such, switching to a better value for your next device is much easier because you're less invested in the brand, and you're probably not spending as much money of software you'd have to repurchase. You're also probably not replacing the budget phone as quickly as other markets, since it's a more prohibitive expenditure. You're probably not goign from the low-end to the high-end with higher margins. What you then have is a fickle, low-margin base that needs specialized (budget) hardware developed for it. Microsoft's mobile status probably isn't in a good place to attack that market. It doesn't have the attention of Apple or Samsung. Lumias stopped being the serious competitors to true budget devices when Microsoft took over, it seemed. The cost of servicing the market probably wasn't getting them marketshare or money to make it worthwhile. Now, more effort in putting out hardware and marketing could do something for them, but only if they're fine eating the bill for a while. They might have decided that they tried long enough without good enough results. They might have decicded that OEMs tailored to low-cost markets (Yezz, Blu) can do more good with the platform thn Microsoft has, while not having to risk as much. Maybe they just want other Windows OEMs to have a market to aim for, to keep the hardware diversity that got PCs where they are today.
  • I don't know about India or Mexico, but brand loyalty at least in Brazil is considerable. I myself, had a Nokia N8, after spending a few years with it I upgraded to a Lumia 930 in 2014 and was ready to upgrade to 950 earlier this year. But since Microsoft didn't released NONE of the x50 family here, I moved for the first time to a new brand, in this case LG with the G4. But it wasn't only me. My mother only owned Samsung phones (she owns a A5 now) and my dad only had Nokias (his current phone is a Lumia 730). Most of my classmates only had either Motorolas, iPhones or Samsungs recently, no exchanging to other brands. But Microsoft is no such a thing here anymore, not selling any Surface or new Lumias in Brazil, and also selling Nokia's factory in Manaus. Nokia was a brand that respected my country, with devices with fantastic design, much better and realistic prices than other brands (looking at you, Apple) and top of the line cameras. If the Finnish really comes back with Android, and if they return to here, I will make sure that my next phone is a Nokia
  • Actually, I think they believe that other hardware makers understand the wants and desires of a foreign market more than they do, and they want to leave the manufacturing of phones to those companies. They want Windows 10 to run everywhere, but Microsoft hardware only in markets they know well. 
  • They are not making budget phones and in india mainly budget phones got clicked
  • and there are no OEM to support as well eg Micromax and all will never release wp
  • Micromax and Xolo did release windows phones but they never caught on. Xolo initially marketed it quite well but later dropped it
  • I'm using Lumia from 2012 and still using. This is my third Lumia and the news is very saddening for me!!!
  • As long as we can get our hands on the surface phone...and hopefully this strategy clicks
  • Yay, now brazilian consumers have to import microsoft devices for use... I Pass
  • well, seems like the same for Hungary, where WP was still ahead of iOS last year. It seems like MS will manage to do what none of their competitors succeeded in until now: make me (force me) to change from an MS phone to Android. This company is truly unbelievable...
  • I feel you. I had to move to Android this year since the only way to get a new Windows 10 phone in Brazil was importing one.
  • Uma grande bosta. Baita frustração também. Para mim é o fim.
  • Same here. I was very happy with my Lumia 830, but it was stolen. After that, i had to bought a Lumia 532, because i did not want to spend a good money on an inferior phone (830 and 930 were already out of the market). I was waiting for a new W10phone while holding my 532, but it never came. Now look how much time have passed and here in Brazil we still only find some Lumia 640 (3g only) to buy. Now i am tired and this news was the final blow. I will change once again to Android, although not without sorrow in my heart.
    Now i can only hope that one day i will be able to come back to a strong Windows Mobile, that i am very fond of. And i will still keep my Lumia 532. ps: Damn you Microsoft! Still doing these stupid moves even after all these years.
  • LOL, I was expecting a damage control article to come out. Gotta keep the rank and file in line around here. Betting on 0.5% by Q3.
  • 0.3%
  • Sounds like a good over/under.
  • 0.1%.
  • LOL! I was about to say that but then I realised that even BB10 has a 0.1% market share. And thus, it would be exaggeration. Haha!
  • I'm just guesing that BB10 number is rounded up so it can appear on the graph.
  • But that is generally what Daniel does.  He's the last cheerleader on the Titanic. The vast majority of the posters, readers and followers of this website, are in fact, ... CONSUMERS. Yet somehow, this article expects us to jump up and down, that Microsoft is turning away from the CONSUMERS business.  But, oh don't worry, all the services you love are on Android and iOS.  It's insulting to say the least. But not unexpected. Microsoft has no ability to compete.  ZERO.  well maybe just 1% in cloud against Amazon.  But, otherwise.  No.  Microsoft has virtually no consumer understanding.  In all it's 40 years of corporate existence.  Yet, they kind of think they do.  Ok, xBox isn't completely dead, but it's the not the business Ballmer handed off with the 360.  It's now a distant second. Yet, they really got BIG when they decided to leverage the idea of a computer in every HOME, running Windows.  Yet, now they don't want to have a Mobile device, in every hand?  And still 98% of ATM's run.... Windows!  This, this right here is the height of dysfunction.  We should expect the same in the "press" that covers this organization. Do we think we are going to go to Paul Thurrott for Android device opinions?  A person who made his name covering MS.  Ditto Mary Jo Foley?  Tom Warren? Microsoft is a crazy admixture of IBM, and the Boston Redsox.  One is business, and the other (from a favorite movie quote "yeah, you love the Redsox, and all, but... have they ever loved you back?"). What Microsoft is clearly missing here is this.  Those 3 key techologies, don't matter.  And when you focus solely on Business you lose Mindshare.  Ask Blackberry how well that worked out. As a consumer, do I want Continuum, or home automation?  I want home automation.  And if Microsoft and the press here, think selling me Continuum, is a path to salvation, well, guess what, the arrogance of those ideas, explains why Microsoft is failing.  The more consumer's use non MS technology, the more they find they can live without MS, the more they live without MS, the more that prejuidice comes into the few business decisions they make.  "Well, I use android, so I want my business to use android." THAT IS WHY CONSUMER'S Matter.  Bill Gates got it.  Satya only cares about visiting India, and he's got his head in the Cloud.  Which really shows how little he knows.
  • And yet the stock price is up some 60% since Nadella took over from Ballmer.  He apparently knows something.  
  • or it could be that the Markets just didn't like Ballmer.  When Satya turns in performances like Steve, of tripling Revenue and doubling Profits he can talk.
  • And how do markets price CEO's?  Projected future revenue streams.  Ballmer was a disaster for Microsoft.  
  • It takes time to buid tech products. Most of the products that currently exist were started at the Ballmer's time and defined then. It is generally accepted that he has left when stage was set up for stock price to go up so that new CEO can have a good start in front of the World. For example, Office for iOS was completed at Ballmer's time, just he didn't let it to be published until they have something similar on Windows.
  • actually consumers are a TINY fraction of Microsofts business ... you are talking about Microsoft having zero ability to compete but you are wanting them to compete in the consumer market where there is no profitability for them.  the money is on the business side.  personal PC market is dying ... the mobile market is leveling off even for Apple and Android who own the market.  Business and services are where the money is to be made in 2016.  They made Office available anywhere the business customer needs it.  Azure is running even with competing software running on top of it.  Profits are good everywhere except where you want Microsoft to focus. in your comment about Satya and India you mentioned "Satya's head in the cloud" which from a business point is EXACTLY where his head should be because that is where the future of computing lives and where the money will be made.  we also did notice the racism you tangled up in that sentence too. 
  • Good comment.
  • The Cloud business Revenue rose 50%.  Profits only 3%.  Not sure how long you can do that.  Sure, it brings more money than mobile.  But, I'm pretty sure both Apple and Google make more money overall that MS.  And guess what, they do that on consumers. If MS should only focus on business why are they trying to sell me TV shows through Groove?  Why even make Groove?  The point being, that MS shouldn't abandon ANY markets.  Be BOTH Consumer AND Business.  Take everyone's money.  Not just Business.  At least that is exactly what Satya said when asked about xBox when investors were pushing to abandon it. Why push for a UWP if ONLY business matters?  Does business want you on Facebook at work? hardly.  Taking good Selfies?  Hardly. In fact, there is NO RACISM.  Satya proudly shows his interest in India.  Going to see the Prime Minister.  Starting Tech schools.  Goes there quite a bit.  But, he doesn't want to sell his mobile phones in India?  What does he have against them?  Since India was previous a big market for Lumia's. The PC market is dying because... folks have machine's that last much longer, and they use NON MS products for ... Consumption. and please do explain the BUSINESS use of a MS Band?  Which has what marketshare exactly?
  • Microsoft is focusing on Business for their Hardware not "Windows 10 as platform". Nothing is stopping from OEM's in India to create a consumer focus phone. This IS the important distinction.  
  • yes, I agree, sorry for mistating that
  • Sales and non-existent ecosystem are stopping them. They have no reason to create a Windows phone and unless a miracle happens, they never will. Posted via the Windows Central App for Android
  • Nothing stops you from building that phone, but you won't do that, right? No OEMs will do that - they already have no money with so many accumulated losses to invest in the platform that has no consumer apps - things are already getting worse and for one year it will be probably unacceptable for everyone.
  • If you think 3% profit in the cloud business is bad (in the early stages of this technology) wait to you see the hundreds of millions in losses- if not billions- in the smartphone business which MSFT has been in for some time now. iOS and Android are WWWWWAAAAAAYYYYY too ahead of MSFT. MSFT could come out with the best phone ever invented with every single app, with a heavy marketing effort and most people would still not ditch their Apple or Android phone. MSFT knows this and this is why they will stop chasing. ~~Just a flat-out high speed burn through Baker and Barstow and Berdoo.~~
  • Google does not make as much money as MS, and never has. 
  • Mature consumer tech categories have a big winner with 70-85%% share, a smaller winner with 15-30% share, and everyone else is a loser. If you're not on the podium then there's little point pouring money down the drain trying to supplant the incumbents. You're better off focusing on a newer category such as wristables.
  • Racism is such an overused word that its lost its meaning. I think such people go to the "racism" threat to just shut the opposing viewpoint up. When I hear racism and then don't see it I just discount the person who asserted the claim - along with the rest of their argument. Just sayin'
  • what? so if someone's definition of racism doesn't match yours, then it's not true? Not sure I understand the logic there.  IMO, I don't think it's overused but just incorrectly understood by most people and thus not used correctly. 
  • To a carpenter everything looks like a nail. I think you're looking too hard for racism in ChefFabrizio's comment.
  • You mean like when you're against the gay lifestyle and get labled a homophobe?
  • So why they were lying to us during the previous years and selling us false dreams about windows phone will take down at least iOS ?
  • because that was the flavor of the day. There are just too many head shakers from MS.  and it's remora "Press".  It sells advertising.  Clicks. If MS is business focused, why buy Minecraft?  Why have Halo?  Groove?  Why buy Sunrise Calendar?  Accompli?  Nokia?  WHy pour money into building the MS Band brand? Yet, other outlets have covered if MS Should make an Amazon Echo competitor.  But, why?  For Business?  Because it feeds their cloud efforts? The right reason, to have an MS :echo: is because, the non recurring cost is already spent.  And ANY consumer use, drives down the marginal cost.  Making every user more profitable.  And the same goes for Windows Phone.  Same goes for Cloud Storage.  Somehow we think that press releases can rewrite economic theories.  The derivative analysis of cost curves, prove it out.  ANY further use is effective. If you sell chickens, for example.  There is a market for everything.  Not always a great market, but even farmers will buy chicken dropping as fertilizer if priced right.  And if in America, you make the vast majority of profits on Chicken breasts, then why not make SOMETHING on chicken droppings.  It's a product with no additional cost.  It only makes chicken breasts, MORE profitable.  Even chicken feet have a market.  Given lot's of different cultural nuance. So... by inductive logic, and a fairly convoluted round about bloviating.  I make the case for Consumer Windows 10 Mobile to be Chicken droppings.  It's got a market, at a defined price.  And let's be honest.  It certainly performs like chicken droppings.
  • I think you're oversimplifying the comparison of BB and MS by leaps and bounds. For starters, BlackBerry was a mobile-focused company the whole way. It was built on that stuff. When it didn't change with the times, it didn't have anything else going for it. Then, it made awkward changes and did inexplicable things like Android emulation for an old vesrion of the OS, and it was very clunky. They they put out a radically different OS from the competition (even if some thought highly of the effort), and it probably scared many off. Then, they tried to go full-on Android. They never seemed to have clear direction, instead makign decisions based probably on a random Twitter user's comments every few months. Microsoft, on the other hand, has trid to consistently push a plan. Now, they've fragmented it badly with things like the WP8 core change that got suite a few to migrate off (Rather than join in for a second reboot) and the Nokia acquisition that followed with staggered, inefficient device cycles and poor pricing. However, they have pushed WP for 5+ years. It just didn't work. Windows on the PC side (with RT a total mess of an idea and W8 a massive identity crisis) is probably a closer analogy to what BlackBerry did, but it benefitted from such a huge market lead that it could survive. That whole Continuum rant? It just makes no sense. For starters, Continuum is a thing that could make home automation really unique, flexible, and cool. Windows 10 in charge of everything, and Windows 10 powered by a Continuum-focused phone that chases the clunky desktops from the homes of people who don't need the giant boxes and thick laptops. What's more, you say you want home automation over Continuum. I much prefer Continumm (in a fleshed-out, powerful form) over home automation. I really don't need Microsoft to help me turn on lights or flush a toilet or set an alarm.
  • That's fair.  A lot to like here. Yet... being contrarian.  I don't have confidence in MS to get your vision of Home Automation off the ground.  They seem to be doing NOTHING with IoT.  Yet, you over simply home automation too.  Change your home thermostat, from another country or on a plane with Continuum.  Open the door locks to your house with Continuum.  Start your car, in 0F weather. from the Mall. It's not either OR.  It's both and. Right now, the play for Continuum, is plugging in a mobile device and opening Excel or Outlook.  And I'd rather turn on or off my sprinkler system, in NJ, while on a business trip to CA.  Let alone the "green" aspect of monitoring home thermostat. How does it make sense for Satya's mantra of "Cloud First, Mobile First" if there really isn't a Mobile.  Or if it's only Cloud First and Mobile First, for BUSINESS.  Isn't that IBM? or HP Enterprise?
  • Question is, what were they to do with IoT? It seemed like more of a thing for others to utilize. This site also said they tried with the Band 2, but the pairing just wasn't on-par with the specialized-OS setup. IoT just strikes me as what the specialized hardware makers will leverage, rather than being something that makes MS into a specialized hardware maker. What you're suggesting doesn't even need MS to be involved. It needs those companies to give apps to W10 users. I mean, you can't honestly expect MS to start making thermostats and sprinkler systems, can you? Cars have remote start in their key fobs now, so not even sure why you need Windows involved there, unless you really want dynamic climate control (rather than setting it seasonally). Like was said here before, "mobile" doesn't mean "phone." It means "mobile." Laptops and hybrids and tablets are just as much "mobile" things as phones. With the Surface brand, they're already "mobile" with the hybrid lifestyle of the hardware. It kind of seems like you magically want Microsoft to have the answers to the entire tech industry overnight. What you keep suggesting as "Continuum" is just more signs of the app gap. Microsoft can't make companies develop apps.
  • Fairly stated.  And you got to the right point.  By shrinking their market focus, they will never get apps created.  Especially if business is their focus. Car fobs, work line of sight.  Not over greater distances.  And yes, I do use dynamic control. so if you think Windows doesn't need to be involved, why does Lincoln use Apple for the in car app?  If there aren't markets for the apps, why do they exist?  I contend there ARE markets for them, and MS should compete in them.  One rarely, rarely, increases business by narrowing focus.  Take Amazon.  They make Kindle for Windows.  Not really great, not been updated in awhile.  But, they make it.  To squeeze out more profits from their existing electronic books.  And because Nook really doesn't care about windows market.  So, doesn't that help Amazon?  And nook struggles because, their market is less broad, and therefore more risk given a narrowed vision.  In other words, let's say MS Turns around their mobile efforts and Windows 10 becomes more than just a business OS.  Isn't Amazon more likely to benefit from MS expansion? But Mobile and Cellular seem to go hand in hand.  How's MS doing with Cellular in thier products? Not overnight, because that is how they look now.  As if they haven't been in the industry for 40 years, and today is the first day of business. And Continuum feeds the app gap, because like you stated initially, no app maker has seen it's usefulness.  And those that have, are business focused.
  • I think that you have to accept when you're in a niche. Microsoft has tried and failed at going with Nokia. It failed at going for emerging markets. It's now trying the one place it consistently sees success. That seems to be more of a regression to build up, rather than hiding in a safe place. They're trying to focus on the business end, get it right, and let that help drive the software to get general consumers interested. Like I said, if they can get companies like banks and airlines to buy in, then they make apps, then the app gap shrinks, then people are more willing to try the platform. Repeatedly trying to hit all markets without a mature product? It's not worked, and it won't. I know, car fobs are LoS, and not even that helps at great distances. No, Lincoln DOESN'T need Apple, but it's an added feature. However, remember that Microsoft worked with Ford through Sync, and it eventually went away. Maybe IoT is being tested by car makers in the background. Maybe they're building aprtnerships. But, as with mobile, we saw them try and fail before, and it might be a reason they aren't doign it now--either they're trying to get it right or the partners aren't interested in risking it with someone who already failed in cars and is failing in phones and such. The Amazon comparison really isn't even a fair one. They threw out an app, and it's set. They probably mostly just had a deep well of developers who knew how to move the app over easily, and it doesn't get updated. That's not the same as having MS develop new hardware AND software for all-new markets that will need constant attention, like a a home alarm or car system. Mobile and cellular CAN go hand-in-hand, but that's in perception. That doesn't mean it's what Nadella's words meant. They need to do better in phones, we all know that. It doesn't mean it's what Nadella's mantra referred to. It could be beyond phones and to the future, with the Band and HoloLens--both mobile devices with the chance for building a long-term market. And yes, overnight. We've seen Microsoft flop about badly with WP7's issues, WP8's lack of consistency across devices, and all of that. Now, they're actually working towards something. W10 has a vision. My statement was to not expect W10 to fix things overnight. Microsoft's been in business for 40 years, but it's had a clear vision for its entire consumer portfolio for about 6 months (and that's being generous, since the W10 Store and Xbox app store haven't been finished and released, and won't be until an unannounced summer time). You're calling for them to enter into completely new markets before they have the basics of the current ones sorted.
  • Microsoft has always been successful by creating  productivity / enterprise products first (Windows, Office, Surface Pro) and THEN having it cross over to mainstream.  I wish they were a little more consumer oriented too, but they're doing the strategy that has worked for them. 
  • Consumers always SEEM to matter more because they make a lot of fanboy noise. The truth is doing business in the mass market is like some kind of deal with the devil, your company is full of innovative geniuses who have to find a way to think like the people who vote for Donald Trump
  • "THAT IS WHY CONSUMER'S Matter.  Bill Gates got it.  Satya only cares about visiting India, and he's got his head in the Cloud.  Which really shows how little he knows."
    I'm sorry, I want to agree with everything you wrote above, but can't. We, as consumers, live in the present and want things. Now.
    That sometimes makes us short-sighted in some respects. Sounds corny, but try to think the big picture here. Better yet, try to put yourself in MSFT's shoes and stop thinking as yourself.
    - you know you lost the smartphone battle
    - you know that you need to apease shareholders (make return on investment)
    - you know that you are strong in enterprise
    - you know that you have more than billion PCs with our OS
    - you know that becoming relevant in smartphones would cost too much $$$ for shareholders to stomach Result? You find a different way. Look at Apple for instance. they were on their death bed in the 90's, because tehy were way too pricey for consumers and lost their way in the enterprise. Their revival was rooted not as much in them going after consumer market, but because they looked at what was next after the huge desktop PCs - always connected computers (iMac) and music everyone kept stealing on Napster (iPod, iTunes). MSFT is doing the same thing, if I'm reading the tea leaves right:
    - in Consumer world - they are focusing on building what is coming next after smartphones
    - and because they need to make $$$, they heavily invest in Enterprise to make the $$$ now
    - the investmet into the next generations of consumer products won't bear fruit until 2-3 years from now, but they need to keep their operations alive So, although it may seem totally counter-intuitive to abandon consumer market and focus on enterprise, this move is actually brilliant - it is a safe stream of revenue and hedges their bets, should the "yet-to-be-developed" consumer products not catch on. They know they lost smartphones, they pulled out and are working on their next thing. It will take a couple more years. Keep in mind, Nadella inherited a company, which was not very healthy. No matter how his strategy irks me (as a consumer) I totally understand that he may not have a choice here.
  • Then move on from the platform. Go make a IPhone account, join a Android forum, or whatever. But for God's sake stop your bloviating all over the place. While we all have opinions, and they all stink, yours is non productive and does not further the conversation. WM users for the most part aren't Candy Crush people. We want a platform that works for our needs. Phone calls, email, office tools, and the occasional daredevil on netflix. If this isn't you.....MOVE ON. Posted via the Windows Central App for Android
  • That's optimistic. Lumias made 95% of the 0.7% market share of Q1.
  • So you didn't even read the article? I suggest you get a life, trolling makes you look like a pathetic loser.
  • So you are whining because you were not given an article that you could whine and complain and troll over? 
  • I agree it's damage control to not upset OEMs. The fact that they said "windows mobile isn't our focus this year" alone should have upset OEMs. OEMs are taking a bet on continuum. As an insider I have seen 0 efforts to make continuum a better experience. They are now going to close off the OS for features and start working on bug fixes. This means that continuum would not have changed from the initial launch. It still only supports 1 full screen window. It still has a slow browser. It still doesn't let you manipulate mouse settings to enhance the experience. It's essentially still in a state that offers no real productivity. And now OEMs have to wait till spring 2017 before any enhancements come officially. I would say that may break some partnerships.
  • They are focusing on Windows 10 which runs on mobiles... They aren't focusing on THEIR OWN hardware.   People need to get this right.
  • No, at Build Terry said that this year Windows Mobile is not their focus.
  • No, he talked about the hardware... As we all know, they are putting more development in to windows running on phones than they have done any previous year with 2-3 new builds each month and monthly builds to the th2 builds. You can't deny this.
  • No they were talking about software and why windows mobile wasn't a big part of build. People were expecting features and discussions about such features for developer use. But either way, they did partner with oems knowing they weren't going to be putting that much effort into mobile.
  • Build is for developers. Windows developers. Phones are now running windows. Build applied to them no matter which hardware platform.
  • Exactly, just you now stand in front of your own words. Build is for developers, there wasn't almost any talk about hardware on Build except some HoloLens demonstration, but even that is the demonstartion of the platform, not the hardware. He has used the word "Windows Phone", not Lumia. Windows Phone clearly include OEMs.
  • Yeah, build is about software development. Windows on phones isn't a separate platform any longer.
  • They are still separate. The CORE will become merged during anniversary update. And this makes it easier to maintain, but it doesn't mean features all the same features will be pushed. Some platforms have different needs. Do you see a continuum feature being pushed to desktop? It makes no sense because the point of continuum is to mimic the desktop. It's a completely different feature not in any other version. And this is where they should have focused more efforts if OEMs are betting on it.
  • And the work they are doing right now with insider builds is not done im a merged fashion?
  • Not in their focus doesn't always mean not important to them
  • Lol indeed
  • The original announced goal of Microsoft a couple of years ago is the consumer market and not the enterprises and businesses. They were clearly targeting Apple and Google. That's why they bought Nokia. So all those annoucements of "strategy changing", "retranchement" and jobs cutting are just a disguised failure annoucements. Looks more or less like what happened with Blackberry. It's really sad to have sacrificed such an amazing company as Nokia to finally be in such a situation.
  • When you think about it, Nokia came out ahead. They can design and directly influence new hardware built by the new company announced but bear none of the costs and risks of selling that hardware but still have the Nokia brand alive in the segment that made them popular while they pursue other profitable ventures. They got the better of the deal overall.
  • I just hope that it's not too late. Let's be honest the wide majority of the windows phone users were first nokia users. and now with the Nokia's comeback. You will see that those who are now attacking us for saying the truth about windows 10 mobile, will leave windows phone for android by getting Nokia devices.
  • With this strategy they currently on, it makes the Nokia acquisition a massive waste of effort and they actually insist that it is. Absolutely short-lived use of acquisition which the only big thing it contributes is it let Windows Phone platform to survived longer and manage to grab a piece of market share reach all thanks because of Nokia and Lumia brand. Nokia is coming back but not like it used to be. Even the spirit of Nokia after the acquisition is even flushed out from Microsoft with these continuous lay-offs and dissolvent. The Nokia remains, but they lost their production chain and logistic networks which Microsoft just immediately sold-off. The new Nokia as for the moment only lives because of its brand legacy, but it lost half of its soul. Sent from Turing Machine
  • The inheritant of the Nokia soul now is Jolla with their Sailfish OS you have to check it out. The perfect open and multitasking OS. And the best alternative to Android actually.
  • Nokia were in dire straits but designed and built 90% of Microsoft's representation in the mobile market. Microsoft had to take the risk of buying them because of their own lack of forward planning. Nokia got a huge lump sum, kept most of their patents etc.. They shafted Microsoft. Nokia's business model was unsustainable against Android /Apple. They went for a bottom up business model that wasn't working, as far as future profits were concerned. Microsoft have decided to take the loss of all that, cut out the rot and go for a top down model but in the global zones that may bring results. I think Nadella is quite visionary, the markets like him and he's got the balls to do the possibly unpopular short term thing for long term gain/ survival. I bet it breaks his heart to not directly support India with new hardware etc. but knows it's what's needed right now.
  • Nokia was sinking when they bet the ship on Windows. There's no proof whatsoever that a move to Android would have saved them. It might have, it might not have - but their fall came from sitting on Symbian too long, not on getting eventually bought by Microsoft (Nokia, the company, actually made a respectable deal given the alternatives).
  • The Symbian bet hurt, but I think Nokia would have been jsut fine on Android. HTC couldn't make heads or tails of good business, failingto send updates or make good decisions. It's left them a mess, and LG has done a solid job (it seems) in putting out good phones that aren't from Samsung. Nokia could have slid in right there before LG could. Had the Lumia 920 been an Android device with OIS, wireless charging, 32 GB of storage, and a price lower than the competing Galaxy S III, it coudl have been a hit. I mean, it was a good enough device to get MS some attention with WP. Nokia was still a respected brand then, and it put out quite a nice device with things Samsung couldn't compete with at the time. It might not have worked out, but it's not like it could have gone worse than it did with WP.
  • Rolling with Android, Nokia will not have the cash injection from Microsoft to push out more phones like they did with WP. Not only that, instead of a free Windows OS, they will have to pay Microsoft the royalty fees for using the Android OS. Unless you are running a forked Android, using the Google services also mendates Nokia to package in all the Google service, where some of the is the direct competition to Nokia own services, like Map etc.
  • You know Nokia's shipped off HERE maps, right? What sold Nokia to most of us wasn't the maps anyway. It was the optics, the wireless charging, the super-sensitive touch, all of that. Nokia coudl probably get away with a cross-license with MS, since both have patents the other uses. That, and they can allocate the money from the HERE sale to manufacturing. That, and it's not like they need to make anywhere near the same number of phones that they did with MS to be relevant.
  • Microsoft didn't buy Nokia. Sent from the Windows Central UWP app on a Lumia 1520 powered by Windows 10 Mobile.
  • Same thing HP did to Palm. Microsoft just took a little longer than a month to abandon an entire market.
  • Microsoft should just just hire ROM developers, study the market for popular phones and just focus on developing Windows ROMs for these phones.
  • Would be wasting a lot of resources in my opinion.Most people on Android aren't capable of installing another ROM. Only few enthusiasts will try it and abandon later for lack of apps.
  • Atleast it would get them through the retrenchment phase. Given proper instructions, flashing a ROM isn't a hard thing to do. Also, the current Windows phone users (us) don't have an option to stick to Windows phones now given the pathetic 650, atleast then we can buy an Android phone and happily flash Windows on it.
  • Don't you see that retrenchement is just a way to say that they are progressivily giving up on the hardware side ? Who is crazy enough to invest in making phones for an OS that has 0.7% of maket share and isn't even complete ? even Microsoft themselves stoped to do it.
  • Yeah that's why I am saying they should make ROMs mainstream. Less expenditure.
  • I'm afraid it's too late now. Nadella could have used the cyanogen team to his advantage when he was negociating something with them. Or be more agressive on the partnerships with chinese manufacturers like Xiaomi.
  • Hey, look at AMD. People still but AMD-powered PCs, even though they've shown little interest in making good processors in the past 5 years. It eventually chased my dad (a supporter of AMD for 10+ years) to Intel, but AMD still exists, probably just for antitrust purposes.
  • Given instructions even installing windows isn't a hard thing to do, why do you think people give it to their technician for upgrading or re-installing? People are mostly afraid of bricking the device.
    Spending more money hiring new developers, get appropriate drivers, doing market research will cost them more. This will open up new wounds in effort to stitch this one up.
    The "US" so speak of is less than 1% and microsoft realises that, out of those 1% you can exclude a lot of them who would just prefer a switch than understand what ROM is and how to install it. So sounds like a decent stratergy, again to each his own.
  • You do realise that 1% is the consequence of many people giving up on Windows phones due to lack of proper hardware.
    And producing custom ROMs is what Cyanogen does. If cost and resources isn't a problem for them, it wouldn't be for Microsoft either.
  • Umm A) NOT the only reason man, what happened when we had 640, 435, 830 still out there? Still 520 dominated. That can't be the only reason and we can't sit here and potificate. Its never that simple. It's always an intrecate network of things which will lead to these things.
    B) Just google how Cyanogen makes its money, they tie up with micromax and one plus, which microsoft tried with others didn't work. They mostly earn through donations, you cannot expect Microsoft to do that. Even if they did who will donate for a platform with such market share? Seeking donations will taint their image. I can go on and on about this, you get the gist?
  • Please dont' ever mention the 830. It might be the worst device launched. It was priced well over its worth, and that wrecked it. It was carrying a flagship price with mid-range (to put it nicely) internal. It wasn't impressive, and it was overpriced. It should have been about $150 cheaper than it was, and it's why it never had a chance (it's also why I kept the 920 I had until 2015).
  • I for one would really love a Microsoft ROM for android. I would only go to Android if i could completely and totally remove Google from it. Also, I hope that whatever future hardware MS releases doesn't completely abandon inroads made by Nokia, such as great photogrpahy and audio recording handsets.
  • There is no more audio recording. Lumia 950 only records in mono.
  • That's my hope, too. That with so much stated intention of focusing on enterprise and business, I am afraid they won't really think of great photography as a priority. And being from India, it breaks my heart that this spells the end of Windows phones here. For the moment, at least.
  • I am the average American consumer and I want a high end windows phone NOT a LUMIA (death to Lumias) or another OEM i am not happy with their abandonment of the general consumer market. This is bad just bad what they're doing to the avg consumer like me who loves to use windows phone. IPhone is a bore to use and Android will forever be buggy as hell. This is awful news quite frankly
  • The phones will still be there.  TBH, Windows Mobile's problem in the consumer market is the app gap.
  • This is a graceful surrender. To be sure, businesses don't want these devices. I attended an executive conference in Redmond with ~300 CIOs and the talk of the event was "thank God they aren't pushing Windows Phones."  
  • Yeah, we'll see how this plays out.  Microsoft needs an inflection point in order to return to health in the mobile OS space.  My iPhone running all Microsoft's apps is an excellent business device right now.  
  • I still think a surface ZenPhone setup would make sense. People might want the phones if they can turn into a Surface tablet and laptop. It would still be more of a productivity/secondary device, but at least there might be a market. Continuum would be a big boost to that. Think of how people thought that cheap laptop thing with Continuum was pretty neat, then imagine if Microsoft did it with the quality and flexibility of Surface.
  • MS needs to prove that using Surface phones in the enterprises is imperative in terms of security, manageability, productivity and cost efficient.
  • Phones are no longer solely business devices. If they were, RIM and the BES would still be around.  
  • RIM is now BlackBerry Ltd., and BES will soon be upgraded to version 14, integrating Good ™ and various other connectivity and productivity suites...   :-D  ‎
  • That's because there's no real good business phones out there running Windows 10. I think that will be the idea of the 'Surface' phone. It also seems to be the focus of the OEM releases (HP, Acer, Vaio, etc.)
  • No. Business people don't want this mobile OS. They simply reject it for a variety of reasons-- apps, interface, branding. They don't even want to be seen in public with it.
  • The article covers the fact that MS is going to focus on their own high-end phone and leave the cheap ones to OEMs. They are planning on giving you what you want.
  • I don't understand. If you want a high end Microsoft phone or a phone from another OEM, then you are the exact customer Microsoft is talking about when they say "the development of Windows 10 phones by OEMs, such as HP, Acer, Alcatel, VAIO, and Trinity; as well as develop great new devices."   How was this news awful for you?
  • Their biggest IF in my opinion, is whether "business customers" - who are people, and people are consumers - will bite for a phone with few apps (which is now getting even worse than ever or at least than a long time). At every level, people will be clamoring for their familiar phones with their familiar apps. Everytime they go to a conference, a Windows Phone won't have the app (unless the market shifts to platform-agnostic, say, by using HTML5) - same for many other areas of apps. At best, they might get some businesses to buy phones for their employees and have the employees carry two - but what's the value proposition of a second phone over a consumer phone with business apps in most scenarios?
  • It depends. In some cases, it might be that they need apps within their company, and it leads to those companies' development of W10 apps. I used banks and airlines as examples below. If U.S. Bank's employees started carrying the devices and wanting mobile app access, U.S. Bank would probably get an app made for them, and consumers would benefit. Same for Southwest employees. Same for a lot of potential business partnerships. So, the business customers might not want a phone without apps, but those businesses might want them to carry those phones and develop apps to make it happen.
  • Just wait for 6-7 months and you should see hopefully 3 top of the line windows phones. High and lower level enterprise focused models and one aimed more at prosumers. I hope they keep such things as a top level camera and a camera button to keep something alive from what was popular and distinctive from top end Lumias in that one model at least.
  • They want Indians to switch to Android or Apple?? I dont see any OEMs interested in WP either. I think L950 will be my last Lumia. :\ I wish MS takes some steps so that OEMs in India start making Windows Phones. Else by end of 2017 WP will be wiped away from India and may be other emerging markets.
  • I'm pretty sure that Microsoft will still sell high-end devices in India.  It's the lower-end phones -- such as were very popular in Brazil and India -- that Microsoft is abandoning.  There's no money in that market.  
  • That bit where Rubino writes that MS will only sell the phones in markets where the Surface line has done well, makes me wonder if the x50s are the last phones the company will sell in India. After all, it was only early this year that the Surface brand made its India debut, and given the high price point of those devices, I have my doubts about how well they did here. Sigh.
  • Japan has quite a few OEMs looking at it. HP's doing the Elite. Acer's got the Jade Primo. I think Vaio is checking its options as well.
  • I could see windows 10 mobile being big in Japan just because of the cultural differences. They like fun, colourful and artistic things. But these OEMs would have to make fun default start screens, good looking ones, not the default boring MS one that all my friends say give it a bad perception.
  • The start screen is one of the reasons I stick with Windows as a daily driver. I've tried tons of launchers on Android (and don't get me started on iOS, "there is no try" as Yoda would say) and nothing compares to live tiles. Then again I'm not a consumer user.
  • Yes, but the default one MS puts out is boring. Most people think that's what windows mobile looks like. My friends were baffled when I showed them mine and all the stuff you can do. And hiring a nice artist and making it speak to the Japanese people and marketing it would probably gain it some popularity.
  • not in India...because majority of people choose budget first then Experience. #Windows Central App
    >and windows central app is too much slow after last update....article takes more time to load.
  • Good to know. Still holding on to old lumia, waiting for a surface phone.
  • That maybe good for them, but as far as i see it's not good for us who like the quality of nokia/ms phones but don't have the money to go all premium.
  • Unfortunately, days seems over by now. We have to at mercy of OEMs making quality entry level devices. Though I welcome more OEMs to come, which is badly needed ever since, what I worry is that Windows mobile devices will most likely going ti be absent on many countries unless some local mobile brand release Windows mobile devices. This is even worse since we know that many countries don't have Surface devices locally. This makes their presence really "dead" in those countries and may be harder to even lure them back. Sent from Turing Machine
  • Exactly my worry where India is concerned.
  • I understand the change in strategy, but they need the big phone OEMs to produce phones. At the moment they have PC makers making phones but the general consumer doesn't buy phones made by them. If Samsung, LG, or HTC doesn't come in this will be a major problem.
  • Windows phones sell mostly at the low end, so LG and HTC won't help in any way. Samsung can just because of brand value.
  • Well maybe they need an image shift then if the only sell at the low end. 
  • Which is really indeed a problem if major OEMs don't release Windows variants soon enough. Thing is not just because of brand, but because these major brands have really wide market presence and global distribution. This is also the strength of Nokia which helps Windows Phones to stay afloat, not because of them maybe Windows Phone might be actually dead by now or simply non-existent most parts of the globe. I'm not sure if Microsoft still retain those distribution network from Nokia Mobile acquisition, but with non-stop lay-offs and pretty much un-motivated push of Microsoft, it seems they also lost it (hopefully not unless I miss something). Microsoft pulling back from consumer space of mobile market just doesn't sound really good for us well consumers. Their lack of presence will makes even hard for the platform to even get back to consumer space again as there will be no stopping for this duopoly for a while. Not to mention about the perception of MS efforts on mobile is been tragically ruined, they lost people's confidence and trust again. Sent from Turing Machine
  • I think they are stepping down from normal phone market. Seems like they'll be making phones more as a companion device to go with their business devices. This really means that they're taking away the support for normal devices as no OEM has such deep interest in making Windows phones. This is too bad. I always liked windows. It had great potentiality. Don't want to move on to Android. But MSFT is leaving no choice for its customers who buy low end and mid-range phones.
  • Uh...... Canada....?
  • Yeah, that's messed up that they left Canada out in the cold :(
  • We do have microsoft stores and surface products, so hopefully the surface phone/s will be available here. Maybe not mentioning canada was an oversight!
  • I think they consider the north American market as one.
  • They might, but they did not say North America, they said US.
  • They did, but I can't imagine them pulling out of Canada.
  • I fully expect them to pull out of Canada.  Rogers sent back much inventory.  Telus wouldn't even sell me a Windows Phone until I asked for a manager.  Bell's selection of Windows phones was abysmal. Rogers was the one Canadian carrier Nokia had a great relationship with and MS ruined it.   I still hope, as was stated above, that I can buy my MS hardware from their site direct.  I've been done with Telcos for a long time.  I only buy unlocked phones direct now as a result of MS + Carriers not being able to play nice together.
  • As long as they don't close the MS store there will be a few WP on display.
  • Microsoft will concentrate on these "core markets" for its smartphone business: US, UK, France, Germany, Poland, Australia, and Western Europe (Austria, Belgium, Denmark, Finland, Ireland, Italy, Netherlands, Norway, Portugal, Spain, Sweden, Switzerland) What about other counties? There will be no chances to buy expected "surface phone" and only bring it from other countries?
    Lumia 950XL officially in Ukrainian stores, but there will be no SP?
  • You'll probably be able to buy it from Microsoft Store on web.
  • I haven't seen L950XL Dual Sim + Dock in web store. Had to order L950 single sim without dock station as a gift to friend (in USA). When I'll try bring it to my country I will pay about 30-40% of device value as import tax :(
    But let's wait and see
  • If you order from the MS Store in the UK, they will gladly ship it to most European countries. No duties to pay either.
  • My country almost never in delivery list and I have to pay "tax" for any parcel with price more than $150 when it crosses the border
  • If I'm not mistaken you're in Ukraine? Yeah, that's not considered "European Union" just yet. Politics.
  • Yeaterday my friend asked me what u r gonna do if no windows phones are available in the market. I think he got a goldel toungue.
  • Talk about Caravelle
  • As far as I am able to read, they don't have any ambition to have more than 1% of the market for some time. That's sad. It isn't leadership in any way. This is turning Windows Phone into HoloLens strategy for some time. So no general developers, no general consumers, no big numbers. While you can technically say that they haven't stopped, for most of the current users there is no difference.
  • But this makes things worse than better. What if MS releases Surface phones.. Do we have to wait till 2018 or even more to get it to India. And high prices like it was once. Sent from my Lumia 950
  • Since when Finland is in Western Europe?!  LOL
  • Or Germany is not? :D
  • Germany is in Central Europe
  • It is.
  • Pretty much any European country that isn't former Warsaw pact is considered Western Europe.
  • Since they successfully fended off Russia in the early 20th Century...
  • I guess Nokia's camera prowess will also be thrown in the trash. That was to me their biggest differentiator. Ah well, I guess I'll hope some other OEM runs with that.
  • Totally
  • See, Nadella is from India and hence Microsoft isn't going to focus on the Indian market. How biased! Now all those ignorant analysts would have to rethink if MS really favours India because of Nadella being Indian ¬_¬ ~Sent from L830
  • Nadella being an Indian doesn't make any difference to their strategy. Microsoft is just focusing on profits now, just like Apple.
  • You didn't get the meaning. ~Sent from L830
  • As a shareholder, I approve this message.  Why keep flushing hundreds of millions of dollars chasing a saturated market with no profits in it?  
  • Yup. That's what I always say. But some ignorant people, for no reason, always link Microsoft's projetcs in India to its CEO's ethnicity. That's bs! ~Sent from L830
  • Agreed
  • The Windows mobile experience has been so refreshing to me. I really don't want to go back to Android and I definitely don't want to go to iOS. Sadly, if MS is abandoning the general consumer market for the business market I'll probably have to do one of those. Unless Ubuntu Touch takes off.
  • I've been interested in trying a Jolla instead. Hope they can bring some investors and make a good product.
  • "And we'll help drive demand for Lumia devices."  That sounds like they plan to continue to use the Lumia brand.  I think it is time to retire it.
  • Nah...they're just not willing to confirm a 'Surface' phone line this they'll use Lumia right up until the Spring 2017 announcement.
  • I think they're going to sell off the Lumia brand.
  • I experience no negative feeling towards that brand name, do you really? All devices deliver pretty good value and have had good build quality? For me it just carries that same 'robust' NOKIA brand-feeling. I care more for a high-quality phone with Surface build-quality/materials and Lumia PureView camera awesomeness. Concerning the moniker Lumia/Surface Phone, I'd say 'Surface Phone' only adds confusion, since Surface is linked to tablets for me. (always having to say phone/tablet just seems silly)
  • The Spring 2017 hardware event is going to be very interesting.
  • Please make a screenshot of your comment and look at it again on spring 2017 when it will turn out that nothing changed or just got worse.
  • It's not going to take long now. We should be reaping some of the fruits this year. There will be no reason why at lease some OEM partners would not build and or bundle wps this upcoming season this year. I mean, how many builds it's going to take before it's ready for a viable product?
  • Looking forward to see a Samsung or LG windows phone!
  • Ugh! I think you'll need a telescope for that.
  • Personally I can't wait to see Apple's upcoming Windows phone!  
  • The new Nexus Lumia will be sick!
  • I wonder if Hungary is considered as "Western Europe" in this case. I will live and work in the Netherlands 2 or 3 months later, but you know... Hungary is my homecountry, so I'm curious :D The Lumia-coverage is relatively good here, carriers offer 535s, 550s, 640s, 640 XLs, 640 LTEs, 650s, 950s and 950 XLs too, as well as Media Markt and various little phone shops and Microsoft / Nokia partners. So I just hope, that we remain in the core market area :D
  • First, euro5 was their stronghold for a while, why they started to refocus to these market after so many years?  Second, refocusing on business market won't help them in euro5, so these two talking points contradict to each other.  They still don't know what they want to do.
  • If we assume that this e-mail is true, it is bad news for simple users. The key word as pointed out by the article is "drastic changes". Why would anyone invest in a Lumia device while microsoft is changing the strategy so frequently and so drastically? Why would someone invest in a lumia device when Windows 10 is still under heavy development? I am afraid this email is just re assuring me that is should come back to the platform in a couple of years, when the changes have settled down and the platform has reached maturity...
  • In the mean time, grab a very good and cheap 640 as a toy and follow the progress.  
  • Wait a minute... do I read this correctly? I literally rubbed my eyes and read it again: Netherlands is a "core market"?! Since when?! No Cortana support, Bing services suck, Surface Book not available, no commercials, no Surface or Lumia deals like in other countries etc etc. I've got to witness this...
  • No need to rub eyes... Apart from US/UK and may be Germany/France/Spain to some extend... rest all don't have any focus at all.... Nothing is available.. forget about herdware... even software (e.g. cortana) is not available
  • I ordered my 950XL from a Dutch web store and got the free Office 365 sub and the Continuum dock. I've seen plenty of Surface deals, MediaMarkt sells it. There is no Cortana support because of the investment required for a market that simply doesn't have enough people speaking that particular language; in Portugal they deal with that by speaking English to Cortana (and she has a setting to compensate for your horrible accent too). I just came back from the Build Tour, which was in Amsterdam. For free. You have a localized Microsoft store. And anything you can't order from THAT store you can get from the UK, with free shipping and zero import duties. You should count your blessings. 
  • As long as the OEM's listed continue to make a range of devices for Windows, including quality low end ones like the one in my hand. I'm all good.
  • Thanks for the clarification Daniel. I am not Canadian but I am shocked by the omission of Canada. Is Microsoft not even willing to try anymore? Also I keep seeing "Trinity" in this quote but I haven't seen anything of theirs yet? or is it just coming "soon"?
  • I suppose this makes sense, though I'm a bit sad they were unable to really dent the mass consumer market.
    In any case, if there is any chance MS has, it has always been productivity - it seems to just be in the company's DNA :-)
  • "And we'll help drive demand for Lumia devices...."
    ? ;/
  • Kind of disappointing they're exiting the consumer market and honestly I'm wondering what effect this will have on the UWP. Xbox UWAs are coming but they're not here yet.
  • Has anyone heard from the "partners" yet? How is all this news being taken by Acer, Alcatel or any other manufacturer. We've heard rumors of a Idol 4s with Windows from Alcatel. Is that still alive? Here in the US, where are the offerings from the other OEM's? Alcatel brought out a budget Windows Phone months ago. Where are the reviews? How is it selling? Is Alcatel still "all in" with Windows? We know Microsoft has pulled back on hardware, we knew that was happening last year. What we need to know is what the OEM's are doing.
  • I'm also wondering why BLU is so quiet. At least Windows 10 Mobile is available to their phones, but I wonder why there are no new ones in the pipeline?
  • Alcatel was never all in with Windows. They are still launching Android phones, one just a few days ago.
  • I think we will see movement after the anniversary update..  I hope..
  • It's hard for OEMs in the states because everyone relies so much on 2-3 carriers there, and if they don't market your device, no one will buy it. 
  • Sounds good.  It was annoying having several models of phones that only varied slightly in specs.  Cut the models down to 3 or so and focus on quality.  The same issue plagues the automobile industry - too many of the same thing only with differnt emblems. I think it's a great idea to let 3rd party companies offer budget phones and devices (along with premium if they so choose) while MS focues on making premium devices. So, to those in India and Brazil you aren't left out in the cold completely.  There might be a slight drop in options until other companies step in.
  • Launching a plethora of phones with little to no differentiation aside from nomenclature is the reason Samsung is at the top of the Smartphone market.
  • They're at the top of the market because of unique features and they use the most popular OS. Because selling numerous versions of their current phones worked so well for them? People can down vote my original comment like a bunch of tools but the reality is, the current path is nothing bu a loss of money.
  • As usual Canada, HK and China get overlooked, and they wonder why the market share is miniscule there. So rare to find other Windows Phone users or products
  • I'm Romanian. My country, Romania is member of EU but not in the European countries listed by Microsoft. I was waiting for the Surface phone to replace my current Nokia Lumia 1020. I was hoping that Surface Phone would have been sold through Vodafone Romania. It is clear to me now that this will never happen.
    If I will continue to want to own a Surface Phone I will have to buy it from Microsoft Ireland or more likely Microsoft UK. That will make servicing more problematic. What will happen if my phone will have a hardware failure? To whom I will address the service request? Who will honor the warranty?
    And one more thing I get from this article. My country mobile operators will sell only Android and Apple terminals. I'm not attracted by either one of them. This is a sad news for me.
  • Are Surfaces available in RO?  My guess is that the Surface Phone would be handled through the same distribution and support channels.  
  • No, of course Surface is not available in Romania. It never was. If I wanted to buy a Surface I would have to get it online from Microsoft Ireland and hope I will never need to service it.
    However local telecom operators sell Lumia phones. That won't be true for Surface Phone. At least this is what I'm getting from this email.
  • I live in France. My Surface Pro 3, which I ordered from the UK (because I use QWERTY, for one), developed a problem. Microsoft sent DHL to my door to pick up my SP3, fixed it within a week (replaced the graphic subsystem), and overnighted it back to me. Free of charge. They sent me daily updates on progress and apologized for the inconvenience. And I've had similar experiences with Lumia phones. Pretty sure service shouldn't be a concern.
  • Exactly. Almost all of European countries are now members of EU, but no, MS still divides Europe into Western and Eastern. And will concentrate on "core markets", ie USA and Western Europe, where its market share is even today less than marginal, and ditch the rest of the world, including India, China (= 2 bln people), Russia, Ukraine, Asia, whole Africa and South America (4 bln people), because they are not rich enough or for any other stupid reason. If businessmen in these countries start using iPhones or high-end Android Phones, they will never switch to Surface or whatever future Windows phone.   ​
  • They want to focus their mobile platform like the PC market which is already going down. Wow. In my point of view, their Universal Apps strategy is the only thing good they are doing. If Apple or Google thought about Universal App platform before MS, they would have got success way faster..
    Aren't MS thinking what will happen if OEMs dont get sucess with Windows Phones? They are only thinking about making it a success to enterprise users, how many developers think only about enterprise users? MS have make phones for us atleast till companies like Samsung make WPs! If business people use WPs, they will definitely have an iPhone or Android also with them! Cant MS think that? I dont see enterprise users sitting around and customizing their start screen...
  • Google is already implementing their Univer apps strategy by enabling Android apps and Googlr Play store on Chromebooks... People need even less reasons for a PC now...
  • Well, we know that the previous approach of working from the low-end up didn't work for Microsoft so maybe doing it from premium to down might. That approach is working for the Surface Line, so maybe it would work in the phone line too. Good luck Microsoft. I love W10 Mobile too much to see it go to naught.
  • "Premium" without basic apps (<1% share means zero support even for existing apps)?  That will be impossible to sell.
  • Depends, if you focus on enterprise, they don't care about snapchats and the like.  But also a lot rides on the universal app model. Devs will build for PCs, and those UWAs will be easy to have run on mobile as well if they'd like. 
  • Considering most companies now allow the bring your own device policy, I fear this will not play as well as Microsoft wishes. That said, the consumer market was already lost in the US and although they did have a fighting chance in Europe and emerging economies, MSTF seems to concerned with the home market to acept it.
  • Microsoft never had a chance in those markets without Nokia. In fact, the only market Microsoft would have had a chance would have been precisely the USA since that's the only market Microsoft ever cared about. Posted via the Windows Central App for Android
  • What ever, does not change the fact that they claimed so much was coming and still keep staying stuff over the years and we are STILL waiting for stuff... If you werre here from Windows Phone 7, you know what I am talking about.  The whole screwed up thing, I would stick with Windows Phone longer if they would bring a Tap to pay option back, but, Not going to "focus on mobile" this year pretty much says not going to happen... Sigh....What Windows Phone could of been...
  • I could probably write a post as long as this article on my thought, but I'm going to try not to. Microsoft seems to want to live in this hybrid market, where they have themselves set up as the Apple setup (run by Surface) at the top, but an Android setup in the middle and bottom (run by partner OEMs). This would allow companies like HTC, LG, and Samsung explore the W10M platform, if people show interest in it. It lets the Japanese OEMs run their own country, rather than MS bash its head against a cultural wall that isn't kind to outsiders (look at the Xbox in Japan). It lets companies like Blu and Yezz and whoever explore the emerging markets of Brazil and India, which could turn those low-margin devices into something meaningful for the budget OEMs. It definitely gives the companies they risk(ed) alienating a chance to breathe without fighting an unfair fight with an OEM who has better access to the plans for the software they are all acting upon. What becomes risky is when HP and others want to attack the same high-end. The Elite x3 will have a chance to make a name for itself with maybe 6-9 months as the main option for enterprise. However, it's going to be makign that move while W10 is still half-baked for enterprise, meaning it might just be a flop so bad HP never wants to try again, which could scare the competition. Bad execution might also scare enterprise customers from the Surface Phone, which they might worry would have the same holes. Regardless, if the Elite x3 does pretty well, how much will that matter if the Surface Phone comes out and tops (or even matches) it? Windows is a flexible platform like Android, so dumping HP for Microsoft is easier than dumping iOS for Android and losing software and such. Then, we come to where consumers fit in. Will this help them AT ALL? I could see two results from this focus on enterprise over personal consumers: 1. Enterprise users like their work setup and aim for W10 devices at home, for that familiarity and quality. 2. Personal consumers in the enterprise sectors long for their home stuff at work, and things like a true iPad Pro (not this iOS-based one) and Macs become more prevalent in the enterprise space. With the first, it might mean that Microsoft tries again in a couple of years with Lumia-quality devices (maybe with a surface rebrand). Maybe it pushes more OEMs to buy into W10M and get devices into individual consumers' hands. With the second, the fact Microsoft doesn't seem to be trying to appeal to the masses anymore might be a long-term problem that sees Surface focus very heavily on enterprise, as they don't try that hard in the same space as the other W10 OEMs and Apple. In an extreme sense, that could mean you see the Band and Xbox lines die off, if the brand stops being appealing to folks (seemingly possible with how the XB1-PS4 comparisons have gone). That's a very unlikely, doom-and-gloom scenario, though. Realistically, I don't know how any of these efforts end up mattering. The Surface Phone seems like it will be expensive and scare many off. It'll be aimed at businesses and maybe to even get onto carriers, going the MS Store-only route. There doesn't seem any serious momentum with app developers, with the long-awaited push with app bridges just not getting to a point of major growth (we've gained some apps, but also lost others). So, does Microsoft even keep trying with that stuff, if developers aren't taking to it well? This announcement seems like W10M isn't dead, but Microsoft's efforts to make the masses happy are on life support. Then again, there's one major enterprise thought that could be a source of hope: banks. If Microsoft can get banks on-board with a Surface Phone, then it becomes sensible for them to make Universal apps for W10. Banking has been a sore spot for a lot of folks on the platform. The other is travel, airlines in particular. Those two, I think they matter most because they have that two-way means of helping the platform. SnapChat doesn't help enterprise, so it's not probably part of Microsoft's focus with this plan, but it's a big deal to consumers. On the flip side, the internal software needs of major businesses in the mobile, oil, and auto industries probably don't align well with app wants/needs of the masses. If we're lucky, the recent adoption of Surfaces in airlines is a start of getting things like a Southwest Airlines app or a Delta one. Those types of two-sided (enterprise-consumer) partnerships seem like they could get things moving for the apps better than anything.
  • "Realistically, I don't know how any of these efforts end up mattering. The Surface Phone seems like it will be expensive and scare many off." I think it depends how good it is.  A big iPhone with decent storage is close to $1,000.  If the Surface Phone is really great and comes in around that price point, I think it will sell just fine.  How Microsoft has (recently) sold Surface may be the model here.  The problem with the 950 XL, IMHO, is that it was not good value for the $650.  Heck, I got mine on the BOGO with two additional discounts, and I'm still not sure it's worth the money over my wonderful 640.  
  • MS is not stupid.. .the Surface phone like the McClaren will never see the light of day. They tried to pull that off with us on the 950s by giving us mediocre hardware at premium prices..... wait for discounts galore! yNothing will sell from them till the entire ecosystem is fixed. at the rate they are going... WM10 has been GA for almost 8 months now and still has issues.. nohting will change with MS....
  • I think MSFT realized that the 950's were not up to par (along with the OS not being ready), hence the total lack of marketing.  I got my 950 XL for $230 on the BOGO with additional discounts, and still not sure I don't prefer my 640 running Fast Insider.   There is a chance that the Surface Phone could be really great, enough for many users to even overcome the horrendous app gap compared to iOS. Not a perfect analogy, but look at how well Surface has done.  
  • The 950 and 950XL aren't "mediocre hardware". Also, they weren't priced "premium". The hardware was comparable or better than Android flagships, and they were priced significantly cheaper. The first iterations of the OS were horrible, yes. But let's be realistic.
  • OK. They released with VERY poor build quality. They took out super-sensitive touch and double-tap to wake. The speaker can't paly music properly to save its life. The SoC was on-par with what Android offered, but that was mostly becuase it was only a few motnhs from replacing those internals. It was a bare-minimum device. I'm fine with it, but to me, "realistic," means pointing out its glaring flaws as much as its good things. With the 950, I'd say that the negatives are pretty blatant, and the positives are mostly holdovers from what Nokia did back in 2012 (OIS, wireless charging, 32 GB base storage).
  • But that iPhone that sells for $1,000 has a full app store and will get updates for years. The iPhone 4S is still supported by the latest version of iOS, and in the time since its release Microsoft has completely nuked and restarted their mobile OS TWICE.
  • Water under the bridge.  The original Surface RT was garbage, and now look at how the line is doing.  
  • How IS that line doing? The RT 2 was the same flop. The OS as a whole was killed off. The line has been replaced with Atom and x86 Windows. The successor device still isn't announced, and we have no idea when (or if) it'll happen, or what it would carry for internals. It's something of a budget hybrid line whose viability and popularity aren't certain.
  • Surface in general is doing very well, having learned from the early problems (one of them being the limitations of RT).  
  • But the Surface Pro was fine at the start. I was referring to the Surface, not the Surface Pro. The Pro family carries the brand, as the Surface 3 is kind of just there.
  • The point is that the Surface line in general is doing well.  
  • Doing well as in it isn't a total flop. I guess that is high praise for a Microsoft product as of late. The bar isn't very high. Posted via the Windows Central App for Android
  • The proble mis, the iPhone is in about 9 different models, at varying price points. It sounds like Microsoft will start in the $750 range. At that price, you're talking enterprise and enthusiasts, but that's about it. My grandma got the 6 Plus with 64 GB of storage, and I think it was $850? That's still $150 off a $1,000 estimate, and she almost certainly went against the norm. All of that doesn't even get to the main issue, that W10M still lacks compelling software to switch for. So, even if it's a comparable device at a comparable price, who's going to switch to have the wonderful opportunity to start over in games and repurchase apps? The 950 devices were definitely overpriced. The 950 would have been $100 less, the 950 XL probably the same. Part of the appeal of the 920 was that you got a flagship for $450. $550 for the 950 sucked, and that random upcharge to $600 at AT&T made it worse. However, I don't see a realm of reality where a niche device at a niche price point does anything close to well, no matter how good it ends up being.
  • There are three models, the 6s, 6s Plus and SE.  The Suface Phone competitor would be the Plus at 64 or 128 GB.  Those are around $900 and $1000, tax included, so $1000 is a good ballpark figure.   We're agreed on the app gap.  My contention is that if the Surface Phone is very compelling, app gap notwithstanding, and at a similar price point, it will sell well.  It certainly needs to be much, much better than the 950 XL.  Even at my discounted $230, I'm not sure the 950 XL is worth it.  
  • You just can't say "app gap not withstanding," though. It's the #1 problem. You can have the surface Phone be on-par with an iPhone 7 and priced $150 lower, but it won't matter if it doesn't have apps. The 920 basically was the example of that (though it sold better than the following 9xx devices). If you don't think that the 950 XL is worth $230, then everything you are saying about A Surface Phone at $900-1,000 is compeltel crap, though. The only differences would be in build quality, really. No amount of aluminum and kickstands adds $600+ to the device cost. And, again, those high-dollar iPhones are not the best-selling ones. You're calling for a niche platform to live in the niche of the popular crowd and expect it to be anything beyond extra-niche. It's not reasonable.
  • Yes, of course it's the number one problem.  But we have to say "notwithstanding" for the sake of discussion, otherwise why even talk?  And why argue price or any other feature, if you're contending that the app gap is a disqualifying issue out the door.  Just say, "app gap, no chance", and be done with it. To me, I'm not sure the XL is worth $230 compared to my $29 640.  You're missing the point, though, which is that IF the Surface Phone is sufficiently compelling -- which the 950 XL most definitely is NOT -- then it will sell well.  The example is the Surface line, which is premium priced.   What remains to be seen is how compelling the Surface Phone will be...
  • I mean, I can say the same back. Why have a discussion if everything is a vague "if the things I want and don't explain happen"? You're applying your sensibilities to the whole market. Personally, I wouldn't touch a 640 because it's not what I'd want. I'm not interseted in an outdated version of a budget device, just not mykind of device. The thing that makes the 600 series appeal is its affordability, and you're arguing a Surface Phone that would cost 30 times that. I guess the question becomes...what do you think the Surface Phone will do that the 950 XL doesn't already? I think it'll end up being more about build quality and software maturity, rather than a bunch of new hardware. Maybe you get better iris support and/or a fingerprintg reader, but I don't think you're talking some x86-based device with 8 GB of RAM and a GPU to play PC games or anything. The app gap thing, it's my response to your complete lack of explanation. It's just "good price, good stuff," and it doesn't really link up with any actual stuff. That, and what I'm getting at is that if it's priced with the competition and similarly capable, there isn't anything that makes sense to get the competition to switch. So, even if they solve the software deficiencies, they either need comparably priced hardwware that is much better, or comparably powered hardware at a much lower price. Go look at the Lumia 950, if you want to see what happens when all you do is live in the ballpark of the competition from a position of weakness.
  • Ok, sounds like you're taking app gap off the table, which is good.   No one knows what's in store for the Surface Phone.  That's the whole point.  I said that IF it's compelling enough, and priced competitively, it will sell well.  Like the Surface line.  What "compelling" looks like remains to be seen.  I'm sure that a number of us could put together a good list.  Certainly, the 950 XL was not compelling.  
  • See, you're kind of missing my point. In fact, what you're doing is probably part of why Microsoft struggles. People call for them to do things right, but you can't even figure out what "right' is to you alone, let alone a whole market. I mean, what's "compelling?" As I keep stating, I don't evne think your vague statements work. Microsoft WILL NOT compete with simply being on-par. If you've been on iOS for 5-10 years, and Microsoft says, "here's the Microsoft equivalent of an iPhone," why are you considering it? Do you want to restart the phone games you've played for 2 years? Do you want to repurchase the hundreds of dollars of software again? Do you want to lose your iCloud and move all of your stuff (photos, contacts, etc.) to OneDrive? So, until you can actually come up with what "compelling" and "priced competitively" stand for, there really isn't a discussion to have. It comes out as "if Microsoft wins, then they can win."
  • The app gap might not be an issue if at the moment when Surface Phone will be released it will be capable of running x86 apps, probably through some sort of cloud virtualization since Intel has cancelled the line of Atom processors and is not making mobile processors anymore.
  • That really is only practical in an enterprise scenario, like with the HP Elite. Otherwise, you can't run any apps without an Internet connection, latency would probably be high (bad for mobile games), and data consumption might climb.
  • What x86 apps are people looking for on a phone? It is nice for Continuum, but then you could just carry a thumb stick PC or an actual Surface or ultrabook and not have your mobile experience suffer. Microsoft's strategy doesn't make sense in the real world. It will be another flop or more likely they will kill it before release as they have nothing compelling to show. Posted via the Windows Central App for Android
  • Interesting dissertation. Really. I disagree on one key point though. Enterprise users don't want to replicate their work setup anymore. It's the inverse now and Microsoft have not realized it yet it seems. Consumers drive the show. They want to use the personal device they love at work, thus the iOS and Android foray into businesses and the BYOD movement. Trying to leverage the Surface brand and create a Surface Phone is a DOA scenario. Microsoft burned its consumer base and even started to burn its developers. They are making themselves irrelevant in the consumer market with their half-baked ecosystem and lack of real involvement at many levels. Also, the big plan that is responsible for the UWP app model creation, to help fill the app gap on Windows 10 Mobile by leveraging the Windows notoriety, is failing for many reasons: -Microsoft did not go all-in with Windows Phone, especially when the platform made important gains in the European markets. Instead, they stopped releasing phones at the critical moment. They killed their own momentum and let the critical mass that was building to cool down. -Microsoft started spreading mixed messages that ultimately decreased any remain confidence in their mobile platform. Just think about the Android or iOS bridges. What would anyone with common sense develop for Windows when you can aim for Android only and port using the tools. -Microsoft is just not cool anymore and their ecosystem sucks. What are consumers doing these days with their computers/tablets? Facebook, emails, browsing, pictures management and/or soft editing, soft video making, music management / listening, documents editing. The basic digital lifestyle. Well, the Microsoft ecosystem lacks many decent apps for this lifestyle. Something Apple understood long ago. Where is the decent video editing app? Or Music? Nowhere to be seen or half-baked apps that are inferior to their own offering few years ago. -Microsoft is probably still crippled by internal wars, which would explain why there are so many discrepancies in what they produce and their inability to fully go all-in with some products. Why are there still groups pushing out apps not using the UWP app model (I understand for some legacy stuff)? They spoiled a multi-years lead in music subscription. Kinect went nowhere. Continuum - clearly one of the best innovation in mobility in the last 5 years - is a marketing and execution disaster (as I predicted). HoloLens - the best revolution lately - is probably going the same way. I grieve for all these people deeply involved in these projects. In the end, Microsoft is becoming an irrelevant software maker that desperately tries to leverage its remaining operating system dominance using the same old tricks that worked years ago. The problem is that the audience changed. The competition also did. The need to get their act together. Time is running. Windows won't hold them indefinitely...
  • Users haven't wanted a consistent experience because there hasn't been a good one. Android and iOS at work? That would end badly. Windows on a phone? It was bad. Windows 7 couldn't work on a touch device for crap becuase both the OS and mobile hardware weren't ready. Windows 8 had too much of an issue with finding an identity, and businesses didn't like it. Windows 10 is honestly the first time there has been an option that could work across owrk and home really well, as "home" has really just shifted to "phone." So, while people might not want their work setup outside of work, they also might just think that because they don't know how it works. If given a chance, and apps, many might like having a Windows-centric life. It's hard to say what Microsoft did and didn't do with Windows Phone. They could have tried more, but it was clear early on that it wasn't going to work. The app fragmentation across devices was bad. The software needed a lot of work, and pushing hardware that couldn't meet needs or gain software traction might have been deemed unwise. It sucks, but I can understand the business side of that logic. Now, they have to tighten up W10 and get software ready before the next hardware release. Then, it's on getting other OEMs to plug the holes below the Surface line. The bridge thing has really been confounding. What's funny is that I don't even know if Islandwood and Centennial are out in the wild now. Why? Microsoft's progress reporting isn't good. Android porting was emulation that flopped. After that, it's iOS porting and Win32 ports. You're right that targeting W10 with apps with porting availabe seems fruitless and risky. My quesiton to you: what's the problem with that? Porting is there to make the apps happen. Is native development really that big of a deal, vs. porting? The reality becomes, do you want a few native apps or a load of ported ones? Do you want widespread developer presence or niche developer loyalty? You're asking someone who doesn't live the lifestyle, so I can't answer. What are those video and image editing things? I don't know. However, I'll say that Instagram arrived, as did Pandora. didn't Spotify show up? What else is missing, SnapChat? I'm not that kind of phone user. I use the browser a lot, then make calls and text. I don't have a whole lot of apps on my phone, and many are system things I'd prefer to uninstall, if possible (but it's not...). I'll also say that iTunes is a piece of software I never liked, and my one Android device had a horrid music app. I'm a big music user, and while Groove Music is SO MUCH WORSE than pre-8.1 Xbox Music, it's still something I'd gladly take over the iOS and Android offerings. I prefer local music storage over data-hungry, low-quality streaming as well, so Spotify and Pandora and all that aren't of interest to me, though Microsoft also DOES have the Groove Pass. HoloLens is really tricky. It's too expensive, that's the biggest problem. After that, it's too bulky. I think that by the time MS can solve those issues, it will have already lost AR to VR, or the competition will have just copied the idea with newer technologies and piggybacked Microsoft's long-term efforts. It's how I think of the mobile landscape as well. WP pushed OIS, Apple copied it, people lvoed it. Samsung's copied internal wireless charging. iOS devices have long been the slow horse in the hardware race (see: HD displays, large displays, LTE, NFC, wireless charging, microSD support, large storage standard, high-MP cameras, color choices, etc.). It's not that Microsoft is doing bad things, it's that they are constnatly not finishing their thoughts before they start the sentence, and the words from the mouth are outruning the ones in the head. So, Kinect's cool. It's also wildly inaccurate and has too narrow a vision field for gaming tracking, while also needing too large of a room for some stuff. HoloLens is one of the craziest things I've ever seen, and the price and structure are going to keep it out of consumers' hands so long it risks being forgotten. Continuum's nice, but it takes too much setup and isn't quite as flexible as we'd like, as the UWP is still developing in a lot of key ways. Zune was out in front in music subscription, but it was so early that it let the competition copy the idea by the time the market was interested in it, and the Zune brand was a warning sign, at that point (as Microsoft didn't market Zune well or put it out quickly enough). It's really a funny existence Microsoft has. It has no idea how to time things. It's either way too late to the party (Windows Phone), way too early (HoloLens), or somehow manages to be both (Zune was late, Zune Pass was early). It's actually not that common that I think Microsoft's actual ideas are bad. Their timing and execution are just a mess. The Zune software was SO MCUH BETTER than iTunes, but the Apple offering had a big lead. Microsoft rushed into smartphones and did it wrong, let Apple figure it out, then took forever to get it righti tself, meaning it managed to both build a bad reputation for clunky devices and chase the interested parties by a lack of support as it went from WM to WP. Also, note that Windows really isn't holding them. It's already gone essentially free with W10. Azure and OneDrive and Office are doing it. The question I keep having is how long it will be before people realize that $150 Office program they used to get is now costing them $100/year. It's already too easy to set up personal storage with things like a MyCloud from Western Digital, and IDK how many folsk really need that OneDrive storage they pay for. Honestly, Microsoft's profits seem to be driven mostly by a massive scam, in the form of Office 365.
  • News flash, iOS and Android at work is the norm and it seems to be working fine. I travel frequently for business and you never see anyone with a Windows phone. It mostly iPhone with some Android thrown in. Posted via the Windows Central App for Android
  • No, Android and iOS aren't replacing Windows in business. That those people carry those phones doesn't mean they're doing their jobs on them. My job is full of Windows PCs. Before I started there, they offered the field employees iPads to do stuff. They gave them back and said they were useless for their work. They now use Surface Pros. If you can't figure out what we're talking about, don't bother commenting...FIVE HOURS LATER.
  • Oh, I didn't know all those people had Windows phones in their pockets that they secretly use when conducting business. All those exclusive features and apps make Windows phones the only phones capable of being used for business. I guess that explains the .7% market share. All those people can't wait to get where they are going so they can plug their phones in and run a gimped version of Windows RT. Those laptops they are carrying are just for show. Posted via the Windows Central App for Android
  • I'll again say: WINDOWS 10 PCs. Stop playing this game where you try to make a completely different argument than what is being discussed, because it's just making you look stupid. All you are doing is missing the point and making no sense.
  • I hope they make cortana available soon in Sweden since Sweden is one of those "core markets".
  • Cortana is currently unusable because hi cortana is not working, cortana cannot be deactivated and right now cortana seems to cause battery drain in hight you can't believe. Sent from windows central app for windows 10 mobile
  • on the insider preview or normal windows 10 mobile??
  • No don't want that. Not in the state cortana is right now.
  • Cortana is working just fine. Hey Cortana is working just fine. I'm going to take a guess and say you're on the insider preview. In that case you should know better than to complain about it.
  • They remove everything from a phone, put a newer processor, and call it a new phone! Wth? (looking at 550 and 650 comparing both to 535 and 640xl)
    That is why MS is bad in mobile!
  • Well in that case what does the iPhone look like? Sent from my awesome 640 on Windows 10
  • They also give better processor... but also better camera and features.. Nothing is a step backwards... If u look at 550 and 650, its a step back in everything except processor... 650 is a step back even in processor then how can they expect market?!
  • That is what happens to the circus when the clowns take over
  • It's fine by me. I only find it strange that they pulled back from markets where they did sell Lumias. Here in Argentina, while not as big as Brazil and India, they sold a lot of Lumias, you see them everywhere, and people liked them.
  • It's all about profit. The Lumias that sold the most were the ones that hardly made profit.
  • Well yeah, that's a point, but I think that having a brand presence in the minds of the population it's also something valuable and which is hard to build. That's what they're throwing away, a guy who heard that someone had a Lumia and they had told him good things about them, or a casual user who had one before and would buy a new one because he liked it.
  • being in India, this is not surprising but bad news nonetheless, Microsoft retail outlets are in a really sorry state in New delhi apart from the large ones which house the surface line up in the country, I have used windows phone all the way from wp 7, n its really sad to see them retrench in such a manner, and at the worst possible timings, I was looking for a suitable replacement for my Lumia 730 and the 650 felt like a winner. However, after seeing this change in strategy, I have my doubts on the device. I may need to switch to android for a short period till the time MS releases a surface phone and W10 mobile becomes a viable option in the country with various options available. Thankfully, I have windows 10 on all my other devices and with MS's integration with android via their suit of apps n with Cortana hopefully coming soon to India, I should feel right at home there as well.
  • I just wish Microsoft gave a damn about Groove on iOS and Android. The app is garbage and has received no updates in 9 months.
  • Why with all the other options available on iOS and Android are you installing crap from MS on your great looking and functioning phones
  • Microsoft are among the top apps on Android and iOS at the moment. Especially Office and Outlook.
  • Regarding Daniel's (excellent) comments about CE, it's water under the bridge, but as someone who was on the MSFT mobile platform from the beginning (Win CE), I think Windows Phone 7 was a disaster.  I had both the Moto Q and the HTC Touch.  They were excellent devices at the time, and one could write software using the .NET Framework, just like writing to PC.  The iPhone changed the market, but had Microsoft just redone the shell and core apps, it would have remained very competitive, IMHO. I knew quite a few people who had Win CE devices at that time who went iPhone when Microsoft didn't improve on CE. The Windows Phone 7 reset was a terrible OS with garbage apps and was totally incompatible with anything written for CE. IMHO, there was a very hubristic and damaging design ethos at Microsoft that wasn't reigned in.  It gave us the Metro interface.  Zune got it, and died.  Phone got it and tanked.  Windows 8 got it and the Windows franchise suffered horriblly.  Very glad that Nadella has cleaned house.  
  • So INDIRECT killing of W10M and DIRECT killing of Lumia in INDIA, Emerging markets! IDIOT MS
    Where are other OEMs for Windows phone in India? Micromax - No, Lava- No, XOLO - No, Acer - No, BLU - OS update at doubt.
    If budget OEMs doesn't exist, how can Big OEMs be expected to make windows phones?
  • MS is just trying to fool everyone... again. hey OEMs we failed at the phone business, want our crap for free to put on your phones? Nobody wants it and we dont care about those who do.... we are losing money on the platform.. do you want to join us?
  • Every time you use the word "crap" I care a bit less about your opinion.
  • Almost all Android OEMs are losing money on the platform. So yeah, they probably do want to join. 
  • So basically . Microsoft .. Is going to continue windows 10 mobile BUT not for the normal costumer , instead theyy follow hp and do buisness costumer only marketing ? .
    Great. Thats exactly what all the fans wanted. Especially the lumia 1520 users, that are waiting for an upgrade flagship for years... Urgh... Karma
  • They are going down the path of Blackberry....
  • I recently bought a 650 on Cricket. As it turns out i really don't like that phone much. I dont care for Windows 10 in its present form and i don't like Cricket wireless. Not interested in a Windows phone from an oem other than Microsoft. So when my newest 640 craps out ill be looking at other options.
  • I feel the opposite. I love Cricket and Windows 10. Just the app gap and Microsoft's priorities that are my issues. 
  • Writings been on the wall and as a business owner im looking forward to great enterprise focussed devices.  
  • As for me, it's freaking bad to hear from MS that they are abandoning third world. How will I buy next Lumia in Russia?
  • So, when in india is finally over
  • Common India. Lets put online petition to MS to include India as a part of focus. People still love windows phone here. MS please rethink.
  • You, India will now have the same love like the rest of us loyal Windows Phone users... you will be ignored and rejected... with the hope OEMs will pick up the slack....
  • Field day for people at verge :P.
    Dan, are u anticipating a reduction in your readership?
  • Field day for people at verge :P.
    Dan, are u anticipating a reduction in your readership?
  • "Dan, are u anticipating a reduction in your readership?"
    Frankly, it's not worth us writing on Mobile that much anymore. We do Xbox, Surface, Band, HoloLens, Windows 10, laptops, and more. "Reduction in readership" has no meaning to me, nor concern at this point.
  • Thanks. Glad to know that. I'll b looking forward to great editorials.
  • @Dan: Thank you for your leadership and support.... we learned a lot from you and will continue to do so. Just frustrated at the beautiful platform that could have been... instead wasted by lunatics that did not have their heads in place...
  • 'Windows Central isn't in a position to lead in mobile this year. Next year? Yeah, maybe we'll have that talk then. But for now it's going to focus on where it can lead, which is news about Windows on larger screens.' - Terry Myerson
  • I'm still confused about this retrenchment. Each time they come out and say, "we're retrenching mobile", it seems something else falls off. Why is "entering late" such a bad thing? Is any other mobile OS going to have any chance then? Will there ever be another mobile OS that won't need a forked version of android/play store to get anywhere? It's surely upsetting to think about it.
  • Yeah the whole 'scaling back' talk is weird to me ...they have three phones out (which are their last of Lumias) and 1% marketshare. What exactly do they have left to scale back on?
  • Sounds like damage control to me. Why would businesses buy a Windows phone when most of them are turning to BYOD. As far as continuum, that will never work unless its powerful enough to run real software and not just spreadsheets and word docs. It's not like laptops are expensive anyways. And a "Surface Phone" won't save it either. If anything it will damage the Surface brand name. I called it before. Windows phone won't exist in 2018. 
  • "Why would businesses buy a Windows phone when most of them are turning to BYOD."
    Companies do BYOD out of lack of an enterprise device. It's companies surrendering. Had there been an enterprise level mobile phone worthy they would use that. BB and MS both failed enterprise.
  • No they dont.... you dont need enterprise only devices... those days are gone with Blackberry... Blackberry was a success at its time but the world has moved on... MS cannot seperate enterprise from consumer market. Blackberry tried that and look where they are now. No one will carry two phones and the MS phones are not good enough to be the only phones a consumer carries...
  • You dont need enterprise only devices? Um nearly every company has an enterprise-only computer for each employee. 
  • Wrong Daniel. Businesses turn to BYOD because IT departments struggle to keep up with yearly technology changes. Company employees increasingly want to use their own devices to access corporate data. This is the sole reason why BYOD exists.
  • EXACTLY!!!! I upvoted you!
  • Most enterprise level companies that would allow BYOD are now reverting back, since BYOD cannot be secured enough.
  • Not releasing phones in India ! am I dreaming what the hell.. All the manufacturers are bringing their products to India here ms are going away from india.. Now one thing is sure phone business is going to packed up soon...really ashamed of satya ****.... Microsoft is running always Microsoft too bad decisions
  • MS has no strategy.... Windows desktop OS... reboot if yuor computer does not work... WM10 for phones.. reset if your phone acts funcky... and that too 8 months after the OS was released to the public.... Now I understand why people laugh when I show them my windows phone.. the first question I always get is how may times a day does it freeze.... that is MS reputation...
  • Apple is investmenting and MS is moving out from Iindia. Clear lack of strategy. Sad.
  • Smart move Posted via the Windows Central App for Android
  • MS is shrinking their mobile phone business because the consumer side of it has underperformed badly. MS CANNOT go head-to-head with the more mature and established ecosystems of iOS and Android. Nokia was purchased to go head-to-head with iOS and Android and it didn't pan out. The numbers don't work. It would take much more investment, time and resources and big risk to go up against the other two OSes. The smartphone business has become commoditized. Now, if you want a MS branded phone you'll need to pay a premium price. MS needs to hurry up and polish up W10M so the OEMs can draw interest and make phones for the consumer side. This is the only way people in ALL markets will get a W10M phone.
  • Why? Why cant they go head to head with the big boys? Why cant they release a stable WM OS 8 months after being released to the public... Why did the Nokia deal flop, when Nokia is the worlds more recognized company for phones? You had a platform, you had a company releasing excellent hardware... I to this day see people with 920 and 1020s in their hands... running a stable 8.1.... which by the way is still better on the old hardware than WM10. Who is to blame for this failure? Lets all keep drinking the koolaid and maybe the Surface phone will save them... surface phone my @s5
  • Because apps.  Microsoft was never able to get app parity with iOS or Android.  
  • Nokia is? No, Nokia was. And by was, I mean like in 2005. 
  • Microsoft has done a great job with the L950 and 950XL, these are smart phones that can compete with Iphone S6 and S6 Samsung, so I do not see why she should throw so many other phones, and there is no competitor height ...
    Windows 10 RedStone will come with many fantastic changes and I think she's going the right way.
    Surface Phone will break the iPhone like the Surface Book makes the MacBook Pro, 50% better at all and with competitive price.
    Windows 10 has many advantages over OS X El Capitan ... People should test the products before leaving talking ****, test andes buy too ....
  • The 950 and 950xl are a disgrace, buggy out of the box and still not working. They cannot compete with android or Apple. MS are making a mess of their mobile. I really don’t understand why they cannot send out clear messages on their plans  
  • No way, they're great phones. And honestly have the best cameras you'll find. You must not use Android if you think the current version of 950's is buggy. 
  • CocoBungo... I hope you are kidding.... 950s are a joke... they look like ****... they function like ****... the entire platform sucks...
  • Whatever. Just fix WiFi on my 950.
  • If you want to see a good example of what is illustrated here, just look at the Japanese OEM phones that run Windows 10 announced a few months ago...this is what they want to see everywhere else. MS simply cannot afford to focus on hardware and honestly why should they? I'm not gonna gripe because ppl are unreliable and plans change...that is life and we take things as they come.
  • Because companies like Apple can? Google has their Nexus line that gets the latest and greatest without interference from the carriers...
  • But that's Apple's entire business ...consumer hardware. That's all they've ever known. Microsoft has never been that type of company. As for Nexus ...nobody buys those. Seriously, they're like the phone for the 1% of people who are Google fanboys. Everyone else buys a Samsung.  
  • Speak for yourself. On another note, Samsung is not Android. Posted via the Windows Central App for Android
  • As long as they sell their phones through carriers that'll be fine.
  • I really doubt that will happen. I'm afraid carriers won't sell Microsoft Surface Phone.
  • Why would anyone want to see a MS phone when the market does not want it? MS is just stating the obvious... hey guys! Anyone want our phone business for free? We tried to make a profit but failed! It would have made sense at the beginning, when there was hope... now you might was well get into Tezen or the Firefox phones... heck Blackberry at this point might be better...  
  • Firefox discontinued its OS. 
  • As a great video game character once said "IT'S NOT OVER YET SNAKE!!! IT'S NOT OVER YET!" This article made me feel better.
  • Same here! Was contemplating selling my Huawei p9 and getting a lumia 950 .... now I will! :-) Posted via the Windows Central App for Android
  • How was the dual lens?
  • It's done. Honestly. put a fork in it.  They've admitted complete failure in the consumer market. This 'mythical' surface 'phone' won't even *be* a phone. The smart money is it being some kind of phablet device like the Note - look at the way they talked up 'windows ink' at //build.  Two problems with the 'enterprise' thing - it essentally locks out most people - why? because the average person (even you fans) wont be able to buy these devices. They either won't be available for retail sale (i.e. - not listed as a SKU on a website anywhere and only available through VARS or Enterprise customers and they will be sold at a higher margin than a consumer phone - no Next plan, no subsidies) We already see this with the phone that HP announced - enterprise customers only  The second issue is why would anyone want to schlep around two phones with them? and you're going to need two phones - the 'business' one that's forced on you, and the one you want to use for the rest of your other stuff outside work.  
  • time will tell
  • Time has already told.
  • MS is not serious about their phone business... having no or a dumb strategy does not help either... MS cannot seperate enterprise from consumer market. Blackberry tried that and look where they are now. No one will carry two phones and the MS phones are not good enough to be the only phones a consumer carries...
  • Microsoft's one of the only companies ever to successfully mesh enterprise with consumer. Ever heard of Windows, Office, or Surface Pro? They all started as business products. 
  • Interesting. It's only a few weeks since Microsoft reaffirmed their "commitment" to three Customer types, one of which was "Enthusiasts". Now it's all about "enterprise" customers. I smell a bunch of MOR phones and the traditional Microsoft abandonment of consumers. In a world of BYOD, this sounds like the death of Windows Mobile as anything other than the annoying POS sales tool your boss forces you to use on the job.
    And why abandon sales in Canada? It's the US"s second largest economic partner and the has the most interconnected economy with the US.
  • LOLzzz  there is still some koolaid left...
  • If Microsoft is putting all it's eggs into the Continuum basket, then Windows mobile is done. As was proven by the last Continuum article here on WC. While cool, it's just not a practical solution for mobile computing. It is far easier to carry around a laptop than a dock, keyboard, mouse, and random cable to (maybe) connect to a screen.
  • Listen, MS is realeasing half @55 products to the market from their Wallet which was proudly displayed at launch, to continuim to Hello(which surprisinly is working better than the other crap from them), to overprices mediocre hardware that they refuse to support with software update a year later. MS has been overpromising and under delivering. 950 was a flagship that was supposed to save the phone business, reality hit the fan very early and hence the discount galore.... that is still not enough... its a losing battle and MS has no strategy... they think they can differenciate between the consumer and the enterprise business market.. guess what, no one will carry two phones and the MS phones are not good enough for daily use to be the only phone a consumer carries... so there you have it in a nutshell... the end is near!  
  • Satya Nadella will be the end of Microsoft, never thought I would miss the time Balmer was at the helm.
  • He is the end of Windows, not Microsoft. Windows costs too much to develop and support so they are exiting end-user OS market and are going higher.
  • @john20212 totally agree.  Balmer's passion for WP is sorely missed by the consumer market.  Happy that we're concentrating on high-end devices, but Nadella just walked into MSFT with an iphone and plans to keep it that way.
  • Ballmer had "passion" for a lot of things.  What he didn't have was a good vision for Microsoft.  Hence, the change.  Hence, the 60% increase in company value since Nadella took over.   And Nadella walked in to MSFT 20 years ago, well before iPhone was even a gleam in Steve Jobs' eye. 
  • The story arc of Windows Phone is eerily similar to that of BlackBerry 10 (which I use, for now). Try too hard to challenge Apple and Google for the consumer market and fail, somewhat alienate the previously-strong enterprise base in the process, reverse course and go back to doubling down on that prior enterprise focus. The big difference is that thanks to the UWP strategy it probably won't equate to completely abandoning consumer app support. At least that's what I'm hoping for as I eye a Windows Mobile device for my next phone.
  • So this is the obligatory Windows-Phone-Isn't-Dead-It's-Just-Resting article that seems to come out 24 hours after some sacred cow is taken out back and shot. I understand Microsoft's vision, but I'm skeptical that they can pull it off successfully. First, W10 on mobile still doesn't work very well and nobody knows when it will. When the new Hail Mary hardware arrives in 2017 (or whenever) nobody will care if it can't get the basics right. Microsoft could introduce a phone that defies gravity and cures cancer, but if it can't attach a picture or make an embedded video play, nobody-corporate or otherwise-will want to use it.   Second, of all the great new things they want to put into their mobile devices, the only one that matters is Continuum. There is no way that businesses of any size will stop supporting Android and iOS devices because everybody already has them and nobody wants to carry two devices. This means that Microsoft will always be competing with the phone that is already in your pocket. The only way Microsoft makes the needle move on mobile sales (their own or other OEMs) is if Continuum is so good that it effectively replaces a laptop. It might, but that's a tall order, mostly because of the logistical issues that always crop up whenever someone does one of those "Living with Continuum for a Week" articles. "Will it work with the TV in my hotel room? We'll See!" "Will I be able to find a hot desk that I can use at the remote office? We'll See!" Corporate users won't put up with that level of uncertainty.    The reason we carry laptops (or 2-1 devices, or big tablets, or whatever) is so that we can always, always, ALWAYS have a decent size screen and keypoard handy. Sure, you can carry a NextDock and Continnum phone, and some may even prefer that, but why is it better than an iPhone and a Surface? Continuum, if executed well, can be every bit as good as what we have right now, but it's hard for me to see why it would be demonstrably better. And if it's going to save Microsoft's mobile ambitions, it has to be demonstrably better. It won't be enough for people to look at it and say "Hey, neat." If Microsoft wants people to to make a significant change in their current routines, they have to look at it and say "I need that because it's much better than what I have now."    I love my new S7 Edge, but everytime I look at some ugly-ass widget or the three apps that I have to use to manage my different email accounts, I miss Windows Phone. However, it didn't work and poeple didn't buy it. I hope Continuum and the Surface phone knock everyone's socks off and become the New Cool Thing. But in an age where Chromebooks are starting win over Mac snobs and most 20-year-olds have recognized Ctl-Alt-Del as the poke in the eye that it always has been, my money is on Android.    
  • Continuum is not impossible for Apple or Google to make.
  • That was told to Columbus as well when other explorers said that they also could find America (but they did not; it was Columbus who did it). Everyone can in posttime say that this could everyone do but that Continuum was made and invented by MS and that is that!!!!
  • Windows has already won PC. 
  • I have been on board since WP7 launched and I was so optimistic because I could see the untapped potential if we had a narrower app-gap. Now that vision is clouded and its getting harder to see. I honestly believe if more popular apps became available as universal then our platform would stand a much better chance of being more than just a "business phone".
  • This news with the return of Nokia branded phones is death for Microsoft Mobile in India.
  • I actually see this as a good thing. At least for me. I don't want a social media gamer phone. Leave that to the toys, Android and Apple. I want a phone to make money. As long as I can connect to the Web or run business apps then great. I know this is not everyone's idea, but sorry for you. Windows has always meant power user really. Apple has always been pretty... Android is about hacking, just like Linux. You don't have to make a product for everyone to stay relevant either. Catapiler makes dozers excavators and dump trucks. They don't make cars pickup trucks motorcycles or shovels. Focused market. Posted via the Windows Central App for Android
  • "Your investment is not at risk" but we sure as **** are not making any new phones for retail, good luck in the market we just abandoned and told the entire world about. I can see why BLU has not released any new handsets. They obviously have a sane person at the helm. I dont know how they tricked those recent Japanese companies. But hey they have pigion dating games so reality probably dosent apply.
  • Yeah, this message to OEMs is crazy talk to me as well:  'Yeah, we're abandoning the market, but, please, feel free to continue making Windows phones that fewer than 1% of phone consumers are buying." 
  • Windows mobile has 0 market share in Japan. We won't be hearing about those no-name OEM's again. Big in Japan!
  • How's Blu's bottom line making all those cheap Android devices competing with 69829 Chinese companies?
  • I thought they were to be the trio of the mobile platform. WP 10 has all the potential to be equivalent to IOS and Android. I mean WP 10 is already furnished despite some rugged edges but I am in insider preview and it is very stable (built 381). All they have to do is attract more developers. Sent from typewriter.
  • ROFLMAO. Email to partners ??? Which one ?
  • Yeah it's over, I stuck with MS because of there amazing Zune 30 and Xbox.  That's why I have a windows phone.  I went from HTC Arrive -> Lumia 900 -> Lumina 925 -> Lumia 830 -> Lumia 950.  It's time to move on.  
  • Have a nice trip; I am joining MS and Nadella on the move ahead!
  • Good. I'll be here for a while though. I just got my 950 last month. I won't be able to upgrade until next year.
  • Interesting article, very well written and explains Microsoft position.  I have to wonder though with Microsoft abandoning the consumer market for enterprise is there enough there for them as companies seem to be moving or have moved to BYOD, or is the BYOD craze over with and enterprises are moving back to them supplying phones to their employee's.   I love my Windows Phone, with this new strategy I am concerned about being able to get phones as I noticed Canada was not on the list of regions, maybe we are being grouped under US, but unfortunately I doubt that.   I guess time will tell.    I just posted this comment and the one above me says similar items.  LOL
  • Daniel, If possible, may you please use a lowercase "P" for "Phone" as the brand and the OS is no longer Windows Phone and the updated and correct usage is even used correctly in the internal email. The word "phone" now denotes device type and not OS name as Windows Phone did. Microsoft is slowly but surely updating their websites and communications to display a "Windows phone" terminology just like Windows tablet, Windows laptop, Windows desktop or even the competition with Android phone, Android tablet, Symbian phone and so forth. Great articles from you as always but I do notice that you are one of the last writers that still refer to phones that run a version of Windows as a Windows Phone instead of a Windows phone. As always, it is up to you as the author of the articles but I just wanted to respectfully point that out so that Windows Central will continue to be in line with the changes, though seemingly small in word but important in message and mission, that Microsoft has and is making within the Windows ecosystem.
  • I kind of agree, but Microsoft has never given proper guidance on this issue, so it's up in the air as far as I'm concerned.
  • How much more guidance do you need, 1% market share speaks for itself, WP is irrelevant, it's DEAD, put a fork in it. Posted via the Windows Central App for Android
  • Now give the windows phone the ability to run android (apk) apps. It may lure oem partners to bring some budget windows phone with popular android app preinstalled.
    I even think surface phone will be doomed soon. Why someone will buy a phone that would be lack of apps ? Is it not great to use iPhone all the Microsoft apps? Yes, continuum could be a good attraction but why tech expert are
    expecting google and apple cannot offer continuum in near future ? I think surface phone will be neither a phone nor a pc , half backed product which will be DOA. The main reason of wp failure is app gap because of developer support. Why developer would be optimistic about wp when MS is not putting any marketing effort ? Or MS makes apps first for iOS?
    I am saying from day 1, this SN will.kill wp , that is what going to happen. Nokia is still one of the best hardware makers, MS couldn't utilize it.
    Another thing ms did damn wrong pricing of phones mostly in any countries other than US. Import tariff ? Then how moto xiomi and many other Chinese manufacturer are keeping reasonable price ?
    Surely another thing is also culprit , with tiny market share, they even couldn't allow upgrading windows phone 7 to WP 8, and now even people will stuck at 8. Why developers would make support so.many version with only 500 users on each ? That's just stupid...
    Its easy to face the defeat and the coward people will do it easily. Why SN didn't try windows 10m first before shifting focus? Why its too late to have a polished windows 10m OS? Get a polished w10m OS then try few years and then face defeat...facing defeat early is good for bonus but not good for showing how much challenge a top man take ?
    Its a shame.
  • You are absolutely correct .
  • I have the 950 XL but unfortunately my next phone will be iPhone 7. Been very loyal to the platform but can't deal with all the strategy change and market cuts. I'll still be committed till my 950 XL finally dies.
  • I am with you on changing platforms this year. My overpriced mediocre hardware running beta WM10 with numerous issues will be my last Windoze phone. Enough is enough... we are almost 8 months in GA of WM10 and there are still numerous issues... MS you single handedly ruined the best mobile platform there is and dissappointed your most loyal consumers...  
  • Yes they disappointed us .
  • "MS you single handedly ruined the best mobile platform there is and dissappointed your most loyal consumers..."
    So they made and ruined ...single-handedly lol...their own platform. As far as disappointing their most loyal customers, the problem is if they had more customers, they wouldn't have these issues to begin with. It was not sustainable.
  • Well Daniel, the Microsoft mobile OS had loyal fans and customers. But with all those platform restarts it becomes harder and harder for somebody to stay loyal.
  • I will also do the same with my 830 .
  • It wan't die if you don't kill it;-)
  • Well might be the iPhone by then. And you won't believe where they moved the headset jack to by then!
  • Noone cares where the headphone jack should be or what it should look like. People want platform stability and obviously phones that work and are well supported all round. I got a 920 back in 2012 against all odds and 4 years later we are still rebooting the platform? It really sucks being a Microsoft fan for mobiles especially when you see the level of progress, adaption and support iPhone and Android have.
  • You will be in for a big shock of what you have been missing, wasting all those precious years with an irrelevant mobile phone OS. Posted via the Windows Central App for Android
  • Just when India had enough local apps! i was looking forward to buy my 4th windows phone, guess that's not going to happen now. :(
  • Buy what you want, but what you deserve, buy what satisfies your needs.
  • They are killing the windows phone /mobile platform by abandoning the general consumer market.
  • Dude, it's 1% now...can we drop the "they're killing it!" thing, that was like 2 years ago. It's already basically dead. The question is, now what?
  • Wow, what a change from "Windows Phone is not dead" to "It's already basically dead.". Daniel, is that really you?
  • Probably missed his paycheck
  • Or ran out of arguments that could still stand against real fact. The change from windows phone central to windows central was a strong signal that it's over.
  • They went from focusing on one aspect to Windows to the whole thing. Seemed like a smart business move to me. 
  • It's rough for dan, a couple of days left before that pay cheque
  • correct Posted via the Windows Central App for Android
  • This ^ Posted via the Windows Central App for Android
  • If MS believes that they can seperate the consumer market from the enterprise, then they are going down the Blackberry route and things will not be good for their mobile platform.
  • All of Microsoft's other businesses do this and make money, yet somehow mobile is different? Make your case.
  • I suppose MS hasn't really given much numbers how Azure & Office 365 etc are actually performing? Change from selling licenses to selling services and running expensive data centers does hit margins and they are on utility computing still underdog against AWS. Though world has changed and MS needs too, what I'm saying is that it wont be an easy road.
  • Services end up making more money long term, as you're never turned off by the true cost. That's why people buy $1,000 iPhones them it's just $20 / month. 
  • Name a popular "business" phone? oh wait, there isn't one. They use consumer iPhones because the CEO's family had them, the public has them, and all the partner cloud apps these days that biz uses will have an app there. What happens when you have a business W10M phone? oh right none of your critical stuff works because that is all farmed out to A B C and X Y Z providers that everyone uses. It's what we do now. 
  • Mismanagement has killed their mobile platform. Apps should have been thier focus from day one, and everyone knew it. Now, this mismanagement is taking another bad direction called Continuum. The one OS replacement that isn't as good as any tablet, laptop or desktop, and that no one wants or uses. All efforts right from the start should have been regular and consistant updates to the software for everyone; a focus on excellent apps (even if they have to build them in-house); great hardware instead of one terrible low end phone every few months., and making the platform run smoother, instead of changing what it does (all the time). The problem isn't necessarily what to fosus on, but to actually focus on what you are doing. 
  • Sure, all hindsight, water under the bridge. We all know this. Question is, what do you do know if you want to continue in mobile. "Making apps" is not the solution.
  • Well If Microsoft can generate an interest in Univesal apps, which is likely; we will see a good desktop banking app, for example, running the same on mobile. This can quickly change the tide. My rose colored glasses still give me hope. Tom Petty is ringing:  The waiting is the hardest part.
  • Seriously. Microsoft obviously can't make the 700,000 apps it needs to have a Store as big as the others. The only thing that really drives app development is amount of users. How much that user spends plays a little part as well. 
  • Didn't  BlackBerry try a Business Only model? Just sayin'.....
  • BlackBerry had zero infrastructure nor other services to tie into...just BB, Knox, and phones. Microsoft is a whole ecosystem and what they need/want is a phone that uses all of them to their max. So no, very different. Also, what killed BB was chasing the iPhone and the consumer market, not a "business only model". It was the opposite.
  • If anything, I think (and most certainly hope) Microsoft are learning from Blackberry's mistakes. They're returning to what they do best, which is enterprise. And that includes mobile, but not in ways that the consumer understands. Or the fan, for that matter. Microsoft are spending millions and millions getting devs on board right now, and they're explicitly including mobile. Kevin Gallo (Windows Development Platform Lead) said it: "Phone isn't going away. Period."
  • What killed BB was they watied too long to pay attention to the consumer market.
  • The article is taking a very optimistic look at this, so I'll take the other view point... Since Lumia devices account for 97% of the WP userbase, most of which is budget devices, the market share will keep dropping. OEMs like Blu might still release budget devices but they were never too successful. The lack of support from big name apps means consumers will stay away from these devices so it makes little sense for OEMs to keep supporting the platform. More app developers will drop support since WP will be less and less relevant. So even fans will have no choice but to move on to iOS or Android.   I think Microsoft does have a good story to tell enterprises but it will be hard to target only enterprise users. Blackberry tried it but their story wasn't good enough. Microsoft will still be competing with iPhones/Android devices and their Xamarin solution will actually make it easier for enterprises to support both platforms with their LOB apps.  It's also important to keep in mind we're talking about deals for up to 50K devices once in a while, still far less than iPhone/Android sales numbers.   The future for Microsoft smartphones isn't bright but they're already looking for the next thing after smartphones. So maybe they'll get it next time...
  • Well part of the idea is Windows 10 and UWAs. Any new app made for Windows 10 (300m plus users already) will likely be a UWA. And if a developer wants, that can easily support W10M. 
  • 100% accurate. It was about time that windows is dead is actually going to happen very soon.
    Well. It was fun. Cya! Posted via the Windows Central App for Android
  • The fate of Windows Phone since Steve Balmer left hasn't been that hard to predict. For those unsure of what will happen over the next year, I'd say that all the partners will leave - no new 3rd party phones will be released. Rich Microsoft lost a boat-load of money, so what other company would want to take the risk on a Windows Phone given that record? We will probably lose many 3rd party apps as well - even UWP won't tempt them to allocate the testing needed to validate on the phone. Continum as a savior is a fantasy - the dock that I got for free with my 950xl sits unused. I have a smartphone because it fits in my pocket and I can take it anywhere. But, I would never do real work on it. If I can afford a $700 phone, a monitor, a keyboard, and a mouse then I can afford a laptop - which can do work much better than anything that I will likely carry in my pocket any year soon. And the business phone market - what decade is Microsoft living in? So, within a year I'm pretty sure we will see all new development on Win10 for phones cease - with only bug/security fixes for a while after that. Google will strengthen their hold on phones and will be most kid's first exposure to computers. How well that helps Chrome eat into the Windows laptop/desktop cash cow that Microsoft thinks is the only end-user OS worth investing in will be interesting to see. Again, the course of events over the last few years was pretty easy to predict at every stage of the game and was due to the explicit decisions made by the new management. Smartphones are a competitive, consumer driven market - you are either in it or you are not. So, why didn't they just can the whole thing when they took over?
  • Windows is not their main cash cow anymore. Windows 10 upgrade was free. Mobile windows is free since 8.1
  • Windows on the desktop is a key part of the whole company - it drives OS license revenue, Office revenue, Bing revenue, Store revenue. And if desktop marketshare weakens then eventually server and Azure revenue could come under more pressure.
  • No one would have paid for upgrade. With new machines W10 is not free (except for very small screen devices that are out of chips)
  • I'm very sure that the decision to make the upgrade free was fully analyzed and they chose the option that maximized Microsoft revenue overall. But, it is in part a defensive move in reaction to competitive pressure. The actions with Windows Phone over the last few years not only take Microsoft out of a market but also remove a competitive pressure on Google.
  • It's basically free though since it's included in the cost of the device. Much like buying an Apple device with iOS. 
  • Continum as a savior is a fantasy - the dock that I got for free with my 950xl sits unused. 
    Happy to take it off your hands!  I'll even pay for shipping!
  • Add to this Intel killing Broxton, which means that Windows is out of yet another computing segment which is affordable mobile tablets / computing sticks / etc. running full Windows, making Windows less and less relevant on consumer space.
  • The move from consumer to corporate focus is the thing that is losing me as a windows mobile fan. my phone is my phone, and it's not my works phone. if my work gave me a phone, i would probably only use it sparingly, or not at all, regardless of what type of phone it is. however, i like the phone I selected bought and used. without any real data at hand, I'm going to go out and say the largest growth for windows phone occurred when they embraced this. by disregarding this, they may have corporate accounts, but I'm losing interest in it. I don't think this is a smart business decision for such a personal device as a phone. Microsoft should be focusing on bringing the 2 personal and consumer focused experiences to the phone, which is skype and xbox. they have been, but to become so corporate focused loses me...
  • There's not much difference between a phone built for enterprise and a personal one. It'll just be high end and probably include Continuum stuff. 
  • This is a good move IMO. Microsoft has always been a software company and the reason windows 10 mobile has not taken off is the software is lacking. Once they have an OS that is solid then they can get more backing from there OEM partners. This is the reason why so many OEM are hesitant to manufacture Windows phone. The surface was the same way. When it first came out many folks were like whats this but by the Surface 3 and windows 10 finally running solid on the two in one it became a hit. Now all the OEMs are following and the other players Apple and Google are also making look a likes. UMP apps only can work if mobile works. If mobile does not work why make universal apps just keep the regular desktop apps and everyone is still happy. So microsoft has to be all in for mobile. Maybe they wont make 17 lumia phones but as long as they make one (surface phone) to show the potential of WM10 then the rest will follow. But they have to get the OS to be solid so that OEMs can trust the W10 platform.
  • Though the Surface had a big advtanage ran Windows, which has pretty much every app ever. 
  • <sigh> I have no confidence in where Microsoft is going now. None.  Sadly, as horribly as Nadella has gutted the company and ruined their devices, it's not as nasty as going with Apple or Google would be.
  • I wonder if the phones Microsoft will make for consumers will translate into broader carrier support and less exclusivity. One picture at a time -- LG V10
  • That last paragraph says it all! It is unbelievable how Microsoft missed this. Even when BB was still king of the business sector I was saying Windows Phones should follow suit. It just made sense. I remembered telling my IT Director at the time, during Windows Phone 7, that we would eventually be using windows devices instead of BBs in the workplace. It did not mean that they could not venture out into the consumer market eventually, but at least grab a large stake where you still had some pull and your competition was limited to 1. I guess better late than never, which seems to be Microsoft's MO. Also, thought a few years ago that these devices should not be called phones any longer. Not with what they are capable of doing today. The phone function should be treated just like any other app - "oh your device/communicator can make calls too?" Microsoft I have been on your team since Windows Mobile 5 on the htc Dash (loved that phone) you need to hit this next revolutionary device out of the park. Here is to 2017!
  • Microsoft strategy is great, no OEM has Windows tablets selling in Brazil, no phones, no high end laptops, im done with it, hello Google.
  • "The mobility of the Windows 10 experience remains core to our More Personal Computing ambition" i guess we'll have to see about that... rumours of UWP apps working native on Android (no Xamarin / Forms etc. needed) abound... i wouldn't be surprised if Android (1.4bn active devices) becomes the mobile piece of the puzzle Microsoft will go with rather than Windows 10 Mobile
  • Is MS pulling out Lumia from India and Brazil? Somebody please explain it to me. Sorry for my ignorance...
  • They a pulling them from everywhere.
  • Yes. That usually happens when people running the operation, supply chain, sales, marketing etc., are fired.
  • I have been using windows phones (currently Lumia 1520) since the past 3+ years and very content with the hardware side of it of course because it is a Nokia. Have been a great Nokia fan since my first mobile. I never had a liking for android even though sometimes have been tempted to switch but have always thought otherwise. My wife owns an iPhone6 but am not that interested in it (except for the camera) as a lot of people around me own one and they look all the same (thanks to the easy installment plan available in the market). I have always held a mobile that has been distinguished from the others who work with me (formerly owned an N8, and now Nokia Lumia 1520) people appreciate my choice and I advice them about the devices that would suit their needs. I such a situation I would definitely hope that Nokia makes a comeback with a killer device or Microsoft gets its facts and assumptions right and gets the surface phone out with plenty of support and good volume of apps or even both of the above. I know this delay in time to the release of the surface phone is good for Microsoft as it will help them get their windows 10 OS steady and also have the UWP better stacked up. But I just hope it is not too late. Until then will just silently watch the progress and check user reviews for the upcoming models of windows phones from other manufacturers (elite x3 in particular which I think would be the next device that will showcase the progress of Microsoft in this field).
  • I will definitely go back to Windows phone Posted via the Windows Central App for Android... I'm sorry
  • I don't think solely focusing on the enterprise market will work either, since most companies have already transitioned over to BYOD. And those that do issue phones tend to use iPhones or Galaxies.
  • Surrendering the consumer market is still a huge loss for almost everyone who reads this website.  Does that mean that they are giving up on the app stratgey entirely (probably because they already lost it)?  Will it require consumer power users to still switch to "consumer smartphones" and leave hardware to business users?
  • Enterprise users don't need Snapchat. They're too busy with things that retain brain cells. Posted via the Windows Central App for Android
  • yeah thats what im thinking.  so that does mean that a future enterprise phone will still require most of us to have an android/ios phone to carry on day to day smartphone activities.
  • It finally makes sense what they just announced. Applying what the have in regards to surface and doing it in mobile too makes sense. The only problem is if partners don't do justice in the budget market.
  • So this means that even when the Surface Phone comes out we won't be able to buy it outside of the markets within the Surface sphere. I'll have to travel outside of the country to get one which is gonna be painfully expensive for me. What an utter disappointment. Is that really all there's to it? :(
  • I just hope good companies will come to Brazil selling Windows Mobile devices
  • Anyone else see the irony that this has come full circle? They pretty much ignored the business market when they releassed WP7 and now, years later they are seeing it as thier last hope for mobile? Maybe if they had targetted business from the start this might have been a different story.  What they're doing makes sense - they've been very clear in admitting that they've completely missed the mobile wave, and are going to make sure they don't miss the next one .. which might look like it's either home (Amaxon Alexa/Google Home) or cars Thing is, I don't see *anything* from them on these two initiatives. 
  • Windows Mobile death is only the beginning. Windows desktop will soon go the same route. (my W10 work PC can only hold for 2-3 days before it has to be rebooted). I think there is something political in all this. It is better for manufacturers to have OS duopoly (android + ios) to milk consumers better rather than to have OS monopoly and MS Windows platform is the one to be sacrificed to this idea. There will be no more "OS that suits everyone", only two sets of stupid compromises that people will be forsed to chose from. I don't want to live in such a world but that's definetly the path we are going.
  • There are two OS's that suit 99.5%. The other .5% needs to adapt and learn what they're missing.
  • Two. Not one. You can't have ios and android on one device sumiltaniosly. That's exactly what i'm talking about. I'm already on a level to see mind tricks like this and you a telling me to adapt? lol It is MS who needs to adapt, so we have Nadella in charge who is trying to climb one sted higher (to the clouds) and sit on both of those chairs. Sadly he is the windows nutellous undertaker at the same time.  
  • My windows 7 PC has been running fine for the past 3 years. My thoughts on upgrading, why upgrade when nothing's wrong?  I think only the minority are having problems with W10, seeing as the ones who aren't having problems never complain about it online. 
  • How can continuum go in focus when there are and will be no windows phones?
  • Wow, sure a lot of doom and gloom. My Lumia 950XL has more life left I'm sure. I happen to be grateful to being part of the evolution of the mobile computing world. Whatever hardware they use with Windows 10 in the future I'll certainly support. As a small business owner that travels internationally, with deadlines, having all my computers synced is a must. Don't know what all the fuss about apps can only use so many at a time, don't use half the ones I have, or have forgotten I even have them. Apps seem to come and go depending on the trend. It certainly is not the only reason I use a W10P.
  • Wow, sure a lot of doom and gloom. My Lumia 950XL has more life left I'm sure. I happen to be grateful to being part of the evolution of the mobile computing world. Whatever hardware they use with Windows 10 in the future I'll certainly support. As a small business owner that travels internationally, with deadlines, having all my computers synced is a must. Don't know what all the fuss about apps can only use so many at a time, don't use half the ones I have, or have forgotten I even have them. Apps seem to come and go depending on the trend. It certainly is not the only reason I use a W10P.
  • Well said. I couldn't agree more!
  • Well if they managed to get normal windows apps (i.e. Not UWP) running on phones that would probably help.
  • Ironically, had Microsoft taken such a position in 2007 instead of going all in on the consumer market, they could have been in a position of strength in 2016 instead of weakness. I disagree with that statement.  Reason being, we already have an example - BlackBerry.  Their bread and butter was business, but once the app craze and BYOD took off, poof.  BlackBerry was eliminated from the market.  Had BlackBerry foreseen and adjusted to the app craze before Apple, then the mobile landscape would look totally different.  We'd probably be using BlackBerry devices with Google Drive and Office 365 built-in.
  • 1) Denial  2) Anger 3) Bargaining 4) Depression and 5) Acceptance MS is now at stage 5, while some "fans" are obviously still at stage 1.
  • You mus be an Iphone fanboy!
  • This ^ Posted via the Windows Central App for Android
  • Consumer mobile is over
  • Can't wait for b-hurt from all dem MS white-knighting Indians.
  • Cloud first, mobile first.
    Should have translated that to I will refocus Microsoft towards business and enterprise only.
    I would LOVE a Surface phone. But the way things are going, it wouldn't fit my desire to have a high end product that I can do business and consumer apps on.
    My guess is that the Surface phone will be toooooo (enough o's?) focused on enterprise features and continuum. Not on consumers.
    Continuum isn't a feature I care about, at all. Miracast, Chromecast, etc, do just fine. Posted via the Windows Central App for Android
  • IMHO, it is from bad strategy to idiotic strategy :)
  • I wonder if Microsoft truly believes that OEM brands like HTC or LG will ever be interested in making a high-end Windows Mobile 10 device for consumers...
    The rumors about Surface Phone initially said there will be a version for consumer enthusiast. Now, with all this focus on enterprise somehow I doubt there will ever be such version.
  • As a Indian WP user, finally feeling like a Microsoft Certified Chutiya.
  • No mention of Canada. Hooray.
  • ...Microsoft wants – and expects –OEM partners to pick up their slack for those markets with their own hardware. ... Where is the incentive for partners to do that?  With fading numbers worldwide (even in markets with higher numbers) and hope always just over the horizon I just don't see why partners would make that kind of investment.
  • When in India? Oh, wait...never!
  • No Africa???? Seriously Microsoft???
  • I'm not sure what to do. I want to stick with windows phone but the 950 isn't convincing enough to upgrade from my 930. I just wish there were more OEM creating windows phone because I'm not interested in ios or android.
  • While the overall tone of this memo is meant to be reassuring and positive, I actually find it to be the most worrisome so far. I have been a staunch supporter of the idea that Windows on phones is not going anywhere, and ignoring the doomsday dramatization so far. However, there are only so many times that Microsoft can keep changing the target each time it fails. What I mean is that this info doubles back on some very recent statements. In July 2015, Satya stated, "We’ll bring business customers the best management, security and productivity experiences they need; value phone buyers the communications services they want; and Windows fans the flagship devices they’ll love." Satya also outlined Continuum for phones as being a gateway to an individual's first PC in 3rd world markets such as India, where people may only be able to afford a phone or a PC, but not both. From the sound of things, Microsoft themselves (not speaking for third-party hardware) will surely be abandoning the value phone market, which is the bulk of Windows market for phones. By pulling out of places like Brazil, India, etc., they are clearly focused on only the 1st world markets of the US, Europe, and Australia. By doing so, they are also abandoning Satya's pet project of bringing accessible computing to the masses through Continuum. The flagship Windows fan market also seems to be left behind by these plans. Security, management, and Continuum are now their three areas of coverage. Security seems largely inherent to the closed Windows 10 mobile platform, management is purely enterprise control, leaving Continuum as the sole area of interest to both enthusiast and enterprise. It could be argued that an enterprise model could also serve the flagship fan base, but we may find a certain level of compromise there, depending on how Microsoft plays its hand. For example, it is unlikely that business customers will demand 20 megapixel cameras with Carl Zeiss lenses and dedicated camera buttons, and Microsoft may currently be dissolving the remnants of Nokia's class-leading camera phone business as we speak. Even if such a phone is of interest to flagship fans, a lack of market presence--that volume of value phones I mentioned earlier--may guaranty a less-than-premium level of support. That is putting a very high level of trust in third parties to generate enough volume for anyone to bother supporting your platform with apps and other compatibility. Sure, the UWP would make Win 10 apps a mere port away, but developers may simply fail to make an effort until they see demand. This leaves enterprise as the only sure thing, and in typical Microsoft form, much like the Surface and Hololens, the rumored "Surface Phone" is a well-kept secret. This is their one and only offering going forward, and how they choose to play it will make-or-break the future of Windows 10 mobile. I am still reluctant to predict doom and gloom for the future, but I truly hope that Microsoft is holding a strong hand right now. Ultimately, we will have to wait until April 2017 to find out.
  • Dan,  A while back, I commented on an article saying how, although I love to hear your opinion, and obviously your insight on all things Microsoft is far greater than most of your readers, what dissapointed me was how it seems your opinions always swayed in the direction MS was moving towards (i.e when MS said flagship and hero devices was not the smart move because the lower end market was where it was at, YOU TOO then had the opinon that it was the smart move....then when MS reversed course and said the low end market was too crowded and losing to Android, YOU TOO then had that same opinion).  After making that comment, you replied defending yourself...then of course went to Twitter to make some generic comment about how you loathe people who take your reporting of facts to be of your own opinon(s).  I didn't reply to your tweet, but I will once again make that same stance after reading this article.  It's actually not so much the article, because, you're right, in your articles, you for the most part state facts and merely report what MS is doing.  BUT, just reading through your comments and replies to other people's comments, how can you still believe that all you do is report?  Most of all your replies to other people's comments is defending MS's decisions which basically is what I called you out on.  Defending MS's stance on things isn't all bad, but when MS flip flops in direction, doesn't defending them put you in that same flip flop?  Put simply, your opinions seem to ebb and flow with whichever direction MS takes.  I know this because I read all or most of your articles.  When MS says it's all about the apps, you then have that same opinon...but then, I just read in one of your replies earlier that "Making Apps is not the solution."   In the end, it doesn't really matter.  You're the writer, and also you have way more insight on these things than me.  I do of course still love your writing like I've said time and time again and I also appreciate your work and this site.  I'm just calling a spade a spade.  Hope you don't take me being critical of this one thing as an insult.  If not for feedback, how would things grow right?  
  • The funny thing is, no one really asks my opinion on the situation. I do play devil's advocate a lot, and I see why there are changes, but that does not mean I agree with them. I rarely, however, just give my personal opinion. I do like to stir debate and I find the quick reactions from comments sometimes hilarious e.g. "just do this..." as if there is a single cause for Microsoft's failures here. I do think people confuse me explaining Microsoft's strategy and their reasoning with me endorsing it, but I don't' see that as my fault. Just because I'm not as openly cynical as Thurrott does not mean I agree with everything that Microsoft chooses to do either. My opinion is that Ballmer and co. screwed over Mobile since 2007 without giving it the support it needed. Throw in the 8.0 debacle and internal division with Sinofsky (which came out after his dismissal) and a complete lack of vision for Mobile and everything Microsoft has done has been a disaster in this field. Great ideas, sure, but just an overall failure. On the other hands, I feel like companies like Nokia did try almost everything to set the course. I mean, sometimes, you just cannot win no matter what you do. Probably the hardest and most ridiculous things about this job is the opinion thing. So much of it is just personal guesswork or uninformed hackery. This isn't science, however, where I feel more confident in citing empirical data. When people definitively say "Microsoft should do this, and not this" they are guessing, let's be clear. Technology and trends are super hard to predict, which is why the Valley is so chaotic. Look at my job in media: complete disaster. The whole model changes every few years and no one is figuring out how to make it sustainable. At least now, I see a more mature, self-aware Microsoft, a company that is doing some unique things and - for once - has a vision of personal computing. It at least sort of feels like a gameplan even if it means wrecking everything that came before it (and that is what is happening). Will it all work? I have no idea. I don't like to make predictions.
  • All very fair.  I honestly do see the benefits of playing devil's advocate with reader's opinions and proposed solutions and understand now that you are gauging and probing when you counter what others opin.  
  • ya keep it to us and europe cause im not looking forward for your devices. i've sony, apple  and htc thankfully 
  • Under Nadella's leadership, Microsoft is undoing much of the Nokia Mobile acquisition
    And that's too bad.  The design and UX is such a beautiful thing.  The only thing worse than seeing something so wonderful not live up to its potential, is to see it killed from within.
  • What a joke. I can't see how anyone (including OEMs) would believe a word of this. No one is going to pick up the slack for MS in the phone market while they retrench. Unless they're fools. I really like Win 10 mobile and have a 950 xl. I'd rather drink sulfuric acid than go back to Android (just an opinon. Not trying to insult the millions of android users). But the writing has been on the wall for the last couple of years. MS has made a mess of the whole thing from the beginng. I can't believe how badly they've handled the last few years in mobile. No marketing. No carriers. Slow upgrades. And the topper, they finally appeared to be on to something with one OS for all and they just quit trying. Everyone picks on Balmer, but trust me Nadella is no genius. UWP! What for now? No developers. No mobile for consumers. I say no Surface phone either. I think we've learned over many years you can't expect MS not to screw things up and you can't believe a word they say. I think Apple will be the way to go for me. Oh, and just some advice, be wary of purchasing any MS hardware. As many of you have posted MS is a SOFTWARE company. They haven't a clue beyond Windows and Office (and they have enough trouble getting those right). Yeah I know the Surface line. But they'd pull the plug on that in a heartbeat if it heads south in any way (the hell with consumers, have to protect the shareholders). I will miss my Windows phone a lot. Like Mary Jo Foley, it's time to move on.
  • 200% truth spoken! exactly my words! Posted via the Windows Central App for Android
  • Honestly I don't think they can get to surface phone. I'm typing this on an Asus T100HA quad core atom, 4 watt convertible and it blows. As a manager it does not have enough grunt to make me happy at simple Chrome and Office suite usage in a business setting. It's almost there but not quite. Short of salvaging a UFO nothing intel does is going to make a chip for our beloved surface phone appear that can meet the form factor and performance needs of a business person. I'm talking getting stuff done every day without wanting to chuck it out the window. It's just not going to happen in a year. Continuum in it's current state is great for that one day you're stuck in a hotel room but you would be insane to think business is going to adopt it as a daily driver for even management, let alone employees that do more in apps than office suite. Regular surface pro is compelling but even that... look at the 7 times in a row they have screwed the product over with avastar wireless and bluetooth. 
  • Good and bold move.....It's time to say goodbye Microsoft. I like windows phone...... but happy to see new good phone of Noika ... donot forget Nokia phones are coming..... Posted via the Windows Central App for Android
  • Being a Windows lover especially Windows phones, its a heart breaking news to me!, a phone a year, as costly as surface, everything is fine. but withdrawal of the whole hardware business where no other OEMs dare to support the OS a wrong step i think! This will eventually eleminate all Windows phones from indian market leaving an incomplete experience of the windows 10 desktop OS which I think has the highest market share in india than anywhere in the whole world. Posted via the Windows Central App for Android
  • i didn't saw any other OEM releasing Windows Phone in Brazil for a long time. Also i'm not interested in 3th party HW, they always have bad update support, their devices come with a lot of crap apps pre-installed (depending on device u can't remove it) ., i would love to have surface available in my region as well, but for surface i can go to US and buy it .. now if i want to buy a windows mobile device in another country i may have problems with the 4g in my country and as windows phone will die in my country (since we don't have any other OEMs releasing it here) the worst thing will be the lack of regional apps like brazilian banks and services....
  • The article says that MS is going to focus on rich people in rich countries. We, the rest of the world, are supposed to buy non-MS Windows Phones, which do not - yet - exist or are not (and probably will be not) available in our countries. Moreover, until now, users of Windows Phone got 15GB extra space in OneDrive. But now, all have it reduced to 5GB. Nice indeed. MS wants to convince businessmen to migrate to its future high-end and premium devices, ie phones, although not even MS employees and chiefs use them right now, and despite the fact, that users of iPhones and Android have already gotten all those MS's apps and services they need, like Office, OneDrive, Outlook etc. Well, whoever conceived this new strategy, must be a genius :D My guess - nobody will ever migrate :)
  • Sad to read this. Guess no more Windows phone for Pakistan... Because there will be no OEM making any.
  • It's VERY obvious here in Brazil. The Lumias 950, 550 and 650 haven't even arrived here, and I don't know if they ever will... Posted via the Windows Central App for Android
  • I dumped my Android powered phones to embrace Windows powered phone (640 XL) and since then I don't regret doing so. Besides, limited applications for Windows phones the ecosystem is still appealing to me, unfortunately, Microsoft is not believing in it. Well, as long as my beloved phone is supported with consistent updating I care less.
  • Well back to buying my phone on ebay
  • "And we'll help drive demand for Lumia devices." - what does that mean? MS are selling the feature phone business to Foxconn, Nokia will be designing new Nokias via HMD Global & Foxconn collaboration. MS are not making Lumias - so who is making these new Lumias for which to drive demand? Are they selling off the Lumia brand? If so, to who?
  • Whatever Satya and crew are smoking, I want some. There's no full seperation between business and consumer on mobile devices. A business centric device is doomed if it lacks the consumer focused side. Similarly, I'm constantly dumbfounded by the hope from MS that their partners will ride in and save them with compelling hardware. They never have and they never will. MS created a massive two year gap in their high end hardware and no one thought it a good idea to push out a top drawer device. This partner centric model stems from success in desktop/laptops where MS commands 95% market share, that's just not reality at the mobile device end of the spectrum. The platform needed devices on a par with their Android countéprarts, instead we only ever saw things hit the market with hardware 3 quarters behind the curve at best.    
  • Unfortunately that is the end of the road here in Brazil, at least in a near future, especially because we have no OEMs selling Windows 10 Mobile devices here and it does not seem that any OEM plans to launch it here. It is sad because WP reached a market share of almost 15% here, a market of 200 million devices (mostly low end, that is true). No x50 Lumia devices have been launched here, so, no hope. I love my Lumia 730, but that is the end for now. Hopefully in the future I will be able to get back to Windows Mobile devices, although abandoning a market is not something that builds trust and love and that is exactly what MS is doing.
  • Not a problem at all. Whether they sell it only in Europe, there are online stores that can ship it worldwide. I can still get an flagship Windows Mobile device in the future.
  • Yawn.  Microshaft is in effect. Unless the SurfacePhone...can run desktop apps there will no change in the user base or market penetration.  No one...virtually no one will pay premium prices for a phone with a small eco system.  
  • Too bad i wont be able to buy new and upcoming Lumia/MS Windows mobile phones here in Malaysia.
  • If you think these phones are coming at all you missed the article.
  • Shifting strategy all right. They're done. 
  • Oh great! I've been holding out for the Surface phone, so is this MS way of telling people not in those regions to ditch MS phone and move on already?
  • Can't see anyone of these partners really stepping up to the plate, and quite frankly, why would they?  This whole Windows Phone strategy, particularly since Nadella arrived, has just left a bitter taste in the mouth, with a lot of users, developers, and probably the partners they're now hoping come to the party. This is going to be yet another Mobile strategy fail on Redmonds part.
  • Where is Canadaaaaaaaaaaaa
    We're literally right beside the US...why are we always omitted?
  • WP is irrelevant, it's DEAD, put a fork in it. Posted via the Windows Central App for Android
  • WP is irrelevant, it's DEAD, put a fork in it. Posted via the Windows Central App for Android
  • Good job Dan. I always enjoy your perspective in time of crisis.
  • I predicted this two years ago.  Microsoft had to spend over $1B per year to subsidize selling Lumia's below cost.  The market share was a complete sham made up by dumping phones below cost.  Now that Microsoft has discontinued this practice their market share is below 1%.   Now they want to focus on Enterprise Mobile?  The BYOD model has been in effect at most Fortune 500 companies.  Employees want their own iPhones or Galaxy's and will not accept being assigned a Windows phone.   Windows mobile market share is now in the noise range.  Not only is the market share low - its still at lower price points so the revenue is almost nothing.   
  • Removing my comments? why???? Posted via the Windows Central App for Android
  • I don't really want my next phone to be an iPhone or Android but this confirms what I am seeing in Thailand.  There is an exceedingly small Windows Phone market here and it is definitely getting smaller very quickly.  Soon enough I won't have any choice but to move to iPhone or Android, if only because Microsoft don't sell their phones in this country. I can't blame them for this.  The market here is saturated with Android and iPhone (other emerging markets may be similar) and Windows Phone just cannot stand up to it.  Sad really.
  • Once W10M is smooth and reliable, OEM's will start to BYOD. At the moment, W10M is too risky, because it has been a clunky start. In this global economic slowdown (that corrupt politicians are calling a recovery), most companies are focusing more on sure things. When W10M shows it is reliable and smooth out of the box, it will become a sure thing. It may be the case by the end of 2016, a lot of progress has been made in the last few months..
  • Windows Mobile is a great OS! But it appears Microsoft top management appears to have no idea at all as to their purpose and objectives! If Microsoft is managed by smart and clever people, then their actions is completely absent of any intelligence! Why is Microsoft so ineffective in promoting an OS that is superior to both Android and IOS? I have no answer other than to say that the present management of Microsoft must be really FU artists!
  • Good article that goes beyond the news and tries to explain what actually is happing. The problem is, I think, that the average news reader will just understand and remember that Microsoft is giving up mobile. Period. Ok, they actually are giving up the consumer market and are focusing on business. So Windows Mobile is not dead. I'm not an expert but I can understand that this might be their best bet to achieve something with their mobile OS. Of course, as a consumer and lumia user it makes me a little sad but that's business. They have to earn money...
    Still there are some questions that remain: If they focus on business, how will apps come to the store? All that apps like Snapchat that people want are not very business related. Will OEM take over? They can see that smartphones with Windows Mobile are not selling. Will they really try (I know that there are new phones announced but if that really works out is another story)?
    And finally the Surface Phone that supposedly will be presented next year. What difference will it make? If we are really comparing it the Surface series then we should keep in mind this:
    The Surface needed three generations to take off. From the first model to the succes story it is now, it took several (!) years! And: People were already using WIndows, so they were interested in machines running Windows. But who will be using Windows mobile in one year and who will want to take a look at that new phone? Maybe I am a bit to pessimistic here, but the Surface Phone just not work out like the Surface did (and again, it took years).
  • Say what you want, but Steven Elop may just have brought NOKIA in the best position possible ever since they jumped aboard the WP ship. Lumia was decent, but no way near capturing decent market share. They cashed in 7B for their whole hardware division, kept their name and patents (mostly) and now MS is laying off those same people at no cost for NOKIA. Those engineers are re-entering the job market and NOKIA is re-entering the smartphone market in a new way themselves right at this point. They could select the best engineers out of their own old pool if I'm not very much mistaken? Almost looks as if NOKIA has cashed 7B for restructuring their own company instead of paying for it like MS has to!
  • Furthermore, MS couldn't even support one manufacturer (Nokia) in their days, or even their own hardware department later, with OS development. How do they think they can expect anybody to put thier eggs in that basket again, let alone several manufacturers? And even beyond that, to me personally, Android has never been an option because of the shattered market with several manufacturers and models and apparent chaos with updates coming or not coming. And now MS is driving knowingly towards the same, which will make managing the OS even harder. And even if they could, without even expecting to come out of the 1% share, the (perception of) app gap will only get worse.
  • microsoft almost had it about 1,5 years back, they were slowly approaching the threshhold in several coutnries (among them the main european markets, india and brazil) where windows phone would have gained broader relevancy in the market ... then they slipped on nutella, dropped the ball, wrote off several billions, killed thousands of jobs and all in all totally f*cked it up ... when it comes to mobile this seems to be some obsessive compulsive disorder microsoft has developed here. they can not avoid blowing even the smallest development of a mobile customer base to smitheriens every 12 months or so ...
  • OMG! Send Nadella back to India... plz!!! He did almost everything to kill WP.
  • Who will dare to manufacture Windows 10 mobile if even MS is not doing it? Big brands are making Android. So only unfamous brand will do Windows....then who is going to buy it?
  • 2017 is eons away. Both iOS and Android are on annual update cycles for hardware and software. Watch for Windows 10 mobile handset sales to nosedive even more. There is no way OEMs can make up for the MS/Nokia shortfall. Who is to say MS doesn't change its strategy yet again before 2017. How many people use Continuum on a regular basis? I venture to say not many.
  • personally i like their choices here, let manufacturers make windows phones and maybe ill get a galaxy edge with  win 10.  Or may be their furface phone will be to my taste, i just hope they go more 930 metal sides and leave that plastic 950 bs out.
  • Disappointed here too but it's their business, so they can direct it whichever way they choose to.  As a consumer, not always willing to invest in very expensive hardware, it would potentially push people like me to use hardware from OEMs, who might then gain loyalty to their brand, rather than to MS. I love Windows phone,  many of the models, starting with Nokia - another company that I've been loyal to - onwards have been fantastic.  The interface works for me and I don't really like Android or iphones.  I've been disappointed with the 950s, including aspects of their launch and the limitations after switching from a very wide range of handsets down to just 3 or so. Will MS restricting their marketshare further restrict app proliferation (despite their platform unification), such that users won't be suitably satisfied?  As a traveler, I do have issues with transporting multiple devices, so Windows 10 started to offer promise.  Will I find the right products, at the right prices, being delivered such that I'm willing to invest?  I'll just have to wait and see - though I am in a country of Microsoft interest, so maybe there is a little more potential, than others are saddled with.
  • Smells like Blackberry
  • At first I thought this was some second rate BS. I mean "No longer are they pursuing a general smartphone user base, but rather businesses" and "Microsoft's focus: high-end and premium devices that are aspirational." are about as poloar opposite as you can get. Aspirational is a marketing concept that is pretty much wasted on business. I mean businesses want what works, not what is almost out of reach. Then I realized that there is another definition of aspirational other than the more common: "aimed at or appealing to people who want to attain a higher social position or standard of living". That other definition is: "the withdrawal of fluid or tissue from the body". That must be what MS means in this context, the goal of removing Windows Mobile.
  • So the key points. Anywhere Windowsphone has double digit market share is going to be abandoned. Markets that have poor and decling market share are going to see no first party devices in 2016.  Consumer markets are being abandoned. The manufacturer that has 97% of every market is considering a business mobile device some time in 2017.  
  • At the end of the day, MS is a business, and it's only goal is to make money, so I don't know how well the phone business has been working for them, they must think there's some promise. I think this is basically playing a losing hand. It won't work, as I think that the best strategy is to cater towards as many different users as possible. It's easy enough to make a point about how the surface line works best with business, but, it runs regular windows which means it works for anyone who stumps up the cash to buy one. This is not the case for W10M, and as a result, I just think they'll struggle to get even business market share just like RIM.
  • All I have  to say is this article is, very, very, optimistic. Maybe they'll make a Surface phone for Enterprise and power users, but with abandoning the Lumia line what developers are going to stay interested in continuing to develop for the platform, and support Windows on mobile? I get that they may want to move away from being an OEM, but what manufactures are going to be interested in making new Windows phones when Windows Mobile collectively now has less than 1% market share, and the Lumias which accounted for the vast majority share of Windows phones, is being closed down? Actions speak lounder than words.
  • First Elops memo decllaring symbian dead,, people hoped Nokia would stay then Lumia was born , now Nokia coming back aggain and microsoft phone is dead circle of life...
  • If Microsoft is truly serious then they must find a way to get Verizon to accept and support and promote new Windows Mobile devices. If not, little will change.
  • Microsoft took there sweet time to get on the ball. I remember buying my wife the G 1 and later the iphone. I wanted something comparable to that in windows there was none for a long time. There phone resembled a blackberry. They just took too long to get on the bandwagon. Abandoning the low end market will turn out to be another mistake while they had momentum. They should of had these companies producing the hardware and selling them now as we speak in mass. I think they had a Chinese company ZTE or Huawei and one of them even said they would not have windows on there phone. The transition is all screwed up. The pause in strategy isn't warranted. T mobile only offers one windows phone and it's from Alcatel-Lucent where are the others. Me having to wait and use a Galaxy 4 note when I have a surface 3 and an xbox one upsets me. I have to continually figure out where everything is in settings etc sometimes can't find or hook up the wireless hp printer because I became more proficient in one operating system and I'm having all sort of compatibility issues with the other. Don't really want to know 2 operating systems and figure out where's what etc don't have the time. I've always had a Hotmail account had to open a Gmail account I rarely look at to have my Hotmail account. This whole thing is ridiculous that's just the begining. I have to have my pic on my phone and two clouds microsoft and and google. Because it's a Google samsung phone there dormant apps keep popping up to say I'm here install me. Don't want to be all over the place. Have pictures in Picasa that I can't delete for some strange reason. The list goes on I could keep writing about all the flaws but what's the point. Posted via the Windows Central App for Android
  • Hello Posted via the Windows Central App for Android
  • Brilliant article on Windows mobile finally! Unlike what is coming from Paul Thurrott lately. Thanks Daniel!
  • Nice article. Thanks! I agree that MSFT needs to push in enterprise, and especially in schools more than anywhere else. All those kids will remember what they used when they are asking their parents to buy them their first mobile device. Similar logic applies to employees who will take this into accnt when deciding on their next device. More than hardware, they need to focus on services - that's where you really introduceusers to your ecosystem. They need to Push OneDrive hard. The halo effect definitely works. My kids' school uses iPads and Macs, yet their platform are Google Docs. Go figure. Once the Android apps come to Chromebooks, it could spell serious trouble for MSFT and AAPL
  • they just love to fearsoem tweak things up! 
  • The simple truth: The Windows Mobile OS is a superior OS compared to Android and IOS but this Microsoft management is just plain incompetent and unethical! Enough said!  
  • If you remember when the first two Surface models were released, they didn't hit the market with a whole lot of fan fare. The iPad was still the dominant tablet and the Galaxy Tab was usually the alternative. It really wasn't until the Surface Pro 3 that MSFT provided not only a viable contender to the market, but something that gave you a decisive advantage over the others. A tablet that could really replace your laptop. What it did was provide convenience. No longer did you have to carry around multiple devices. You could do a lot of your work on one. They've only expounded on that with the Surface Pro 4 and the Surface Book. Now if you imagine companies that provide their employees with devices and you have the ability to provide them with the same productivity and useability on a mobile device. Imagine what benefits that could create for companies. Now you can simply invest in docking stations and use a Surface Phone, and through Continuum provide an interconnected experience no one else can provide. A lot of companies will see that as efficient, but more importantly, cost effective.
  • Okay i am from India.. What i need to worry about first.. Are the new Lumia / surface phones will not be released in India?
  • I sure hope they're driving a big rig because they'll need all 18 gears it appears. When did they ever focus on business phones in the past? What happened to a budget phone, business phone, and enthusiast phone? They need a new clutch because they just keep grinding the gears. Don't get me wrong I use and like my WP very much. I wonder now and then how can such a big and sussesful company miss the mark so often. Also the new Win 10 for PC with the all apps is just not a good idea. There they go changing the appearence again. Didn't they learn going from 7 to 8?
  • Are you freaking kidding me here Microsoft? Your gonna just abondan all the faithful and true lovers of Windows Phone in India? I have been with Windwos Phone since the Lumia 800. Now i use the Lumia 950 XL. Hearing this from you deeply saddens me. Looks like I have no other choice but to make to swtich to Android. :( I cannot believe I am saying this. I was willing to stay with you'll and watch the fight. Watch you take on all the big phone companies and WIN! HOW CAN YOU LOOSE FOCUS ON INDIA? To see all my friends use Android and iOS, Mock me because I used to Windows. I always fought for Windows Phone, and what do i get? You should have never taken over Nokia. They were doing good with your Phones. I am so deeply agonized by this whole journey ending like this. FINE! I have decided. I am gonna make the SWITCH! After sooooo long. I have given up. Thank You Microsoft for loosing my trust for good. 
  • Well now "Microsoft is giving up on Windowsphone in India" encouraged me to give up too. So my next phone will be an iPhone or an Android, that's great. Well No problem now.
  • Just this strategy it's the Microsoft mobile death