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The year of Microsoft’s comeback?

Published: Tuesday, Jan 3, 2012, 11:00 IST
By R Krishna | Place: Mumbai | Agency: DNA

Smartphone headlines so far have been dominated by iOS (iPhone) and Android phones. In comparison, Windows Phone gets only an occasional mention. Discussions around WP, however, have been gathering steam since the launch of the Nokia Lumia 800. The phone has received glowing reviews, and both Nokia and Microsoft are aggressively marketing it.

Unfortunately this positive sentiment hasn’t translated into raging sales. While the Lumia 800 has become the best-selling mobile running on WP, it hasn’t caused a dent in Apple’s or Android’s numbers.

After all, only a large user base can entice app developers to create apps for the platform. On the other hand, users will be attracted to WP only if it has enough apps. Clearly, Microsoft is caught in a vicious circle, and would be concerned by less than ideal sales of the Lumia 800.

In fact, some tech pundits are already denouncing the WP platform. MG Siegler’s article in Parislemon sums up the sentiment. “Had Windows Phone launched in 2007 or even 2008, the story would have been different. Instead, it launched in late 2010. Way too late.”

Siegler goes on to say that to win market-share, Microsoft needs to create “something that’s an iPhone-in-2007 type product. The product they have, while good, isn’t that.”

Now, we all know that this is no small task. Products like iPhone are created only once in a while. And as the last decade has shown, these once-in-a-while products are usually created by Apple.

So will Microsoft remain a bit player in the smartphone segment? I think not. And it already has a product in development that may not be the ‘iPhone-in-2007’ kind of product, but is a potential game-changer nonetheless.

That product is Windows 8, which Microsoft will launch sometime this year, and will ship with most Windows-based laptops and PCs. With Windows 8, Microsoft has re-imagined what user interface for operating systems look like.

For instance, the traditional desktop and the start menu have been abandoned. The new desktop (or home screen if you’d like to call it that) will be the launching area for all apps. If you think this is very similar to smartphones and tablets, then that’s because it is a deliberate decision taken by Microsoft. Windows 8 is designed for PCs, tablets and smartphones.

Microsoft has even announced a new Windows Store. This store will be a one-stop shop for apps - for PCs, tablets and smartphones. With little cost, developers will be able to port apps built for smartphones and tablets to PCs/laptops. And there you have the user base to entice app developers.

Another important factor is the way Microsoft is working with hardware manufacturers. Unlikewith Android where they have a free hand to customise the software, cell-phone manufacturers have to abide by Microsoft’s stringent rules. This has so far worked against Microsoft - since the manufacturers are loathe to produce more WP-based cell-phones, or market them aggressively.

But this approach will prevent fragmentation that Android is facing. Basically, the Android experience differs from device to device. If Microsoft sticks to the strong stance it has been taking so far, it will provide a unifying Windows experience across PCs, tablets and smartphones. In the long run, this is good for consumers as well as app developers.

Of course, all this depends on how well Windows 8 works with consumers, as well as how well it executes the new Windows Store. If things go well, we consumers may well have to choose from three platforms - iOS, Android and Windows. And this is good news indeed.

All in all, 2012 is going to be an important and interesting year for Microsoft as well as the smartphone and tablet market.

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