Microsoft is reported to be working on its own branded smartphone, which may come to market in 2011, according to an industry analyst.
Northeast Securities analyst Ashok Kumar is quoted on The Street.com as having talked with Microsoft suppliers and design partners to learn of Microsoft’s plans. He says the Redmond, Wash., software company is to partner with Taiwanese hardware maker Asustek to manufacture the device.
However, Kumar tells TheStreet that there has been some delay in the product development process, which may put off a launch into next year. He’s not sure whether the delay is due to a hardware or a software issue, but if it’s a software issue, that could affect other smartphone makers, too.
On Monday, Microsoft unveiled a new operating system called Windows Phone 7 at the Mobile World Congress 2010 convention in Barcelona, Spain. Microsoft CEO Steve Ballmer said the new OS would be available by the holidays, but Kumar says any delay in its smartphone release caused by software problems could imperil plans of other phone makers to have new models running Windows Phone 7 available during that busy shopping season.
Microsoft declined to comment to TheStreet on such “speculation.”
While primarily a software company, Microsoft has made limited forays into the hardware business, notably with its Xbox video game console and its Zune media player.
Comments
Microsoft hasn't done all that well with its Windows Phone Classic. A lack of software will also hamper its new Series 7 platform.
If the number of OEMs (handset manufacturers) decreases below a viable level, making its own handset is the only way Microsoft will be able to stay in the market.
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