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Microsoft-Built Smartphone Could Irritate Hardware Partners, Harm Nokia

Nerval's Lobster (2598977) writes | about a year and a half ago

Microsoft 0

Nerval's Lobster writes "Rumors have circulated for weeks that Microsoft intends to release a smartphone of its own design and manufacture, embracing the strategy that drove Apple’s iPhone to such enormous success over the past few years. While releasing a branded smartphone offers several potential benefits—look at the revenue and brand recognition Apple’s earned as a result of the iPhone—such a strategy also carries significant risks for Microsoft.

First, it could alienate smartphone partners such as Nokia, which would find itself competing against a high-end device backed by Microsoft's sizable marketing dollars. (Given the Finnish phone-maker's already perilous situation, that could prove ruinous.) But a branded smartphone could also convince hardware manufacturers that Microsoft really is "all in" on building its own devices, which could lead to all sorts of drama."

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