Sept. 6, 2012, 12:01 a.m. EDT
Microsoft’s real target should be Blackberry
Commentary: Software giant needs to play its corporate card
By Therese Poletti, MarketWatch
SAN FRANCISCO (MarketWatch) — When Microsoft Corp. took the wraps off the new mobile software Wednesday, it was highly consumer focused.
But Microsoft MSFT +0.02% , and its partner Nokia Corp., may be taking a risk by focusing too much on average Joes, and not enough on the software giant’s bread-and-butter corporate customer with its new version of Windows Phone, Windows Phone 8.
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Nokia’s NOK -15.90% demonstration of its new Lumia phones and their better cameras and mapping tools was heavily consumer centric. Microsoft, too, touted its ease of use and customizable start page, ease of social networking, and location-based apps.
Clearly, Microsoft and Nokia are pitching the tech savvy people who have stormed corporate tech departments armed with their own devices. But by focusing so much on the consumer, it appears, at least in Wednesday’s launch, the company might risk missing the most obvious chance to make bigger strides in the mobile market: the disgruntled and ready-to-leap Research In Motion customers. Read more about Nokia's new smartphones.
Those customers are typically the business users who rely on their BlackBerry device for their work email and the security of the RIM RIMM -1.88% network. But those loyal customers aren’t going to get anything new until next year, when RIM is expected to launch its new BlackBerry 10 operating system and new devices.
“2012 has been and continues to be a golden goose, wrapped from RIM, to its competitors,” said Ramon Llamas, an IDC analyst.
Reuters
Indeed, some have already grown tired of waiting. Perhaps skeptical of what the new operating system will bring, or even the fate of the embattled company, some RIM customers have already planned to abandon ship for Apple Inc.’s AAPL +0.41% forthcoming next iPhone or one of the many smartphones running on Google Inc.’s GOOG -0.05% Android operating system.
According to IDC, Android-based phones led the smartphone business in the second quarter, with a “commanding” 68.1% market share of all smartphones shipped globally during the quarter, while pioneers Research In Motion and Nokia Corp. saw their share of mobile operating systems reach just 4.8% and 4.4% respectively. The report also said that the smartphone market has now become a “two-horse race,” between Android and iPhone.
None of these companies are standing still. September is turning out to be a storm of smartphone and tablet launches, with the much expected Apple event now confirmed for Sept. 12. Today, Amazon.com Inc. AMZN -0.67% AMZN -0.67% is expected to unwrap new Kindle Fire tablets, but it is not completely out of the realm that it too will launch a smartphone. Read the smartphone storm is on.
Microsoft still has a small share of the smartphone operating system market. But during the second quarter, according to IDC, the software giant was coming on strong in its effort to gain on RIM and eventually became the No. 3 player in smartphones. Microsoft’s Windows Phone 7 had only a 3.5% stake of the worldwide market, but that was at a growth rate of 115.3%.
“It is still a very young and new kind of platform,” Llamas said. “Yes, it has things like security and things like VPN access, corporate messaging and the like, but it is still a new platform for end users to get to.”
What Nokia didn't tell us about the Lumia 920
Nokia unveiled its new Windows-based Lumia phone at a splashy event in Manhattan on Wednesday, but despite the fanfare, there was plenty of questions left unanswered.
So perhaps the best way to gain share, at this point, is through entrenched corporate users, who for the most part, use Microsoft Windows and the Office suite at work. Old corporate habits die hard and many information technology departments are likely to be wooed big time by the software behemoth. But if that is in its plans, Microsoft wasn’t talking about that Wednesday.
“The corporate message, and the corporate capabilities didn’t really come up,” Llamas said. “To be fair, there were some other consumer apps and features that they didn’t bring up either. . . They are concentrating on how they are differentiating themselves from the rest of competition.”
Surely Microsoft realizes some IT gurus might want smartphones that are more compatible with their entire corporate infrastructure. With the launch of the new Windows 8 expected next month for the personal computer, Microsoft has an opportunity to get corporate CIOs to consider replacing their corporate fleets of BlackBerrys with smartphones based on Windows Phone 8, while they look at upgrading hundreds of PCs.
When asked about its consumer focus in its event on Wednesday, however, a Microsoft spokeswoman advised reading the company’s blog posts and press releases. In a post in June, Microsoft vice president Joe Belfiore wrote, ”Windows Phone and its bigger sibling will share common networking, security, media and web browser technology, and a common file system.” Read Microsoft's blog post here.
Apple has become very corporate infrastructure friendly but Android still does not have that reputation, although Samsung Electronics Co.’s Galaxy Note smartphone is helping to change that impression.
Investors should hope that Microsoft is playing to its strengths in the corporate market with the latest version of Windows Phone. If the company plays its corporate cards right, it could have a shot at quickly taking over RIM’s spot, a far easier target than Android or the iPhone.
Announcing Windows Phone 8
Three years ago I was lucky to join the Windows Phone team at a time when we were “resetting” our approach to mobile operating system software. We made big changes to our design, our approach to partners, and our platform. The result was Windows Phone 7.
Now it’s time to start telling you about the next exciting chapter of our story: Windows Phone 8. Officially announced this morning in San Francisco, it’s the most advanced mobile OS Microsoft has ever made and will arrive on new phones later this year.
Many of Windows Phone 8’s new capabilities come from a surprising source: Windows, the most successful and powerful operating system on the planet, and one used by more than a billion people. Yes, you read that right: Windows Phone 8 is based on the same core technologies that power Windows 8. As a result, Windows Phone 8 will unleash a new wave of features for consumers, developers, and businesses.
Today I’ll give you a high-level sneak peek at the Windows Phone 8 platform and tell you just some of what it’s going to make possible. I’ll also share some exciting news about apps and updates for current Windows Phone customers. This isn’t a full disclosure of everything in Windows Phone 8—look for a more complete tour of new features later.
With Windows Phone 8, the similarity is more than skin deep. We’ve based the next release of Windows Phone on the rock-solid technology core of Windows 8. It means Windows Phone and its bigger sibling will share common networking, security, media and web browser technology, and a common file system. That translates into better performance, more features, and new opportunities for app developers and hardware makers to innovate faster.
This new shared core—along with all the extra work we’ve done on top of it—opens up a new world of capabilities, which you don’t have to be a techie to appreciate. Here’s a taste:
As you can see, we’re making Windows Phone 8 even more personal, with a new palette of theme colors and three sizes of Live Tiles, all of which are under your control. We know Live Tiles are one of the things current owners really love about their Windows Phones, and we wanted to make them even more flexible and unique. This short video shows the new Start screen in action.
Some of you have been wondering, “Will we also get Windows Phone 8 as an update?” The answer, unfortunately, is no.
Windows Phone 8 is a generation shift in technology, which means that it will not run on existing hardware. BUT we care deeply about our existing customers and want to keep their phones fresh, so we’re providing the new Start screen in this new update.
On behalf of everybody at Windows Phone, THANK YOU! We appreciate your effort and creativity and the value you bring to Windows Phone users.
To mark the milestone, today we’re announcing a new batch of marquee titles. The official Audible app for audiobooks arrives in Marketplace today. Official apps from Chase and PayPal are in the works. Gameloft has Windows Phone versions of Asphalt 7: Heat and N.O.V.A. 3 Near Orbit Vanguard Alliance on the way.
And Nokia is helping deliver the much-requested Zynga games Words with Friends and Draw Something to Windows Phone later this year. Check out Nokia Conversations today for more details about this and other new Windows Phone-related announcements today. (And don’t miss the fun new “100,000 Apps and Counting” mugs and other goodies in the official Windows Phone Gear Store!)
I’m happy to tell you these languages are coming! In fact, Windows Phone 8 will support a total of 50 languages, or double the current geographic coverage. We’re also expanding Marketplace, our store for apps and games, to support app downloads in over 180 countries—nearly triple its current footprint.
Another area I know many of you care deeply about is Windows Phone software updates and how they’re delivered—something we’ve gotten a lot of feedback on over the last year. Today I’m excited to tell you that we’ve been working closely with our many partners to improve the update process for Windows Phone 8, and help get you our latest software more quickly and easily.
How? First, Windows Phone 8 updates will be delivered wirelessly over-the-air, so you don’t have to bother plugging your phone into your PC to update anymore. Second, we will support devices with updates for at least 18 months from device launch.
Finally, we’re working to create a program that gives registered enthusiasts early access to updates prior to broad availability—a little gift to our biggest fans and supporters. We think these three initiatives will help keep your phone fresher than ever before.
We’re really excited about the strong line-up of hardware partners who are putting their support behind Windows Phone 8. The first wave of devices for Windows Phone 8 will come from Nokia, Huawei, Samsung, and HTC, all built on next-generation chips from Qualcomm.
As I’ve said, we’re just starting to tell the full Windows Phone 8 story. Keep your eye on the official Windows Phone blog and website for more news throughout the summer. And, as always, I’m eager to hear what you think. Thanks for reading!
Now it’s time to start telling you about the next exciting chapter of our story: Windows Phone 8. Officially announced this morning in San Francisco, it’s the most advanced mobile OS Microsoft has ever made and will arrive on new phones later this year.
Many of Windows Phone 8’s new capabilities come from a surprising source: Windows, the most successful and powerful operating system on the planet, and one used by more than a billion people. Yes, you read that right: Windows Phone 8 is based on the same core technologies that power Windows 8. As a result, Windows Phone 8 will unleash a new wave of features for consumers, developers, and businesses.
Today I’ll give you a high-level sneak peek at the Windows Phone 8 platform and tell you just some of what it’s going to make possible. I’ll also share some exciting news about apps and updates for current Windows Phone customers. This isn’t a full disclosure of everything in Windows Phone 8—look for a more complete tour of new features later.
The power of Windows
If you’ve seen Windows 8, Microsoft’s groundbreaking new release for PCs and tablets, you’ve probably noticed it bears more than a passing resemblance to the look of Windows Phone. Here’s how the Windows 8 Start screen looks in the latest preview release.
With Windows Phone 8, the similarity is more than skin deep. We’ve based the next release of Windows Phone on the rock-solid technology core of Windows 8. It means Windows Phone and its bigger sibling will share common networking, security, media and web browser technology, and a common file system. That translates into better performance, more features, and new opportunities for app developers and hardware makers to innovate faster.
This new shared core—along with all the extra work we’ve done on top of it—opens up a new world of capabilities, which you don’t have to be a techie to appreciate. Here’s a taste:
- Multi-core processor support: As reviewers have noted, Windows Phone runs buttery smooth on phones with a single processor. But piggybacking on the Windows core provides support for multiple cores—so we’re ready for whatever hardware makers dream up.
- Bigger, sharper screens: Windows Phone 8 supports two new screen resolutions—1280x768 and 1280x720, opening the door to amazing new handsets with high-definition 720p displays.
- More flexible storage: Windows Phone 8 supports removable MicroSD cards, so you can stuff your phone with extra photos, music, and whatever else is important to you, and then easily move it all onto your PC.
- NFC wireless sharing: If you haven’t heard the term “NFC” yet, I’m betting you soon will. This emerging wireless technology lets phones share things over short distances. In Windows Phone 8, it helps make sharing photos, Office docs, and contact info easier—just tap your phone another NFC-equipped device. How cool is that?
- Internet Explorer 10: The next version of Windows Phone comes with the same web browsing engine that’s headed for Window 8 PCs and tablets. IE10 is faster and more secure, with advanced anti-phishing features like SmartScreen Filter to block dangerous websites and malware.
- Wallet: Windows Phone 8’s new digital Wallet feature does two great things. It can keep debit and credit cards, coupons, boarding passes, and other important info right at your fingertips. And when paired with a secure SIM from your carrier, you can also pay for things with a tap of your phone at compatible checkout counters.
- Better maps and directions: Windows Phone 8 builds in Nokia mapping as part of the platform. Our partnership will provide more detailed maps and turn-by-turn directions in many countries, plus the ability to store maps offline on your phone so you can work with maps without a data connection.
- Cooler apps and games: Basing Windows Phone 8 on the Windows core will unleash a new wave of amazing apps and especially games, for reasons I’ll touch on in a moment.
A new Start
We’re putting the finishing touches on Windows Phone 8 as I write this. It has a ton of great new consumer features that I can’t wait to tell you about in the months ahead. Today, however, I’m going to show off just one: the beautiful, flexible new Start screen.
As you can see, we’re making Windows Phone 8 even more personal, with a new palette of theme colors and three sizes of Live Tiles, all of which are under your control. We know Live Tiles are one of the things current owners really love about their Windows Phones, and we wanted to make them even more flexible and unique. This short video shows the new Start screen in action.
Windows Phone…7.8!
The new Start screen is so useful and emblematic of what Windows Phone is about that we want everybody to enjoy it. So we’ll be delivering it to existing phones as a software update sometime after Window Phone 8 is released. Let me repeat: If you currently own a Windows Phone 7.5 handset, Microsoft is planning to release an update with the new Windows Phone 8 Start screen. We’re calling it “Windows Phone 7.8.”Some of you have been wondering, “Will we also get Windows Phone 8 as an update?” The answer, unfortunately, is no.
Windows Phone 8 is a generation shift in technology, which means that it will not run on existing hardware. BUT we care deeply about our existing customers and want to keep their phones fresh, so we’re providing the new Start screen in this new update.
100,000 apps and beyond
Today we announced that the Windows Phone Marketplace officially hit 100,000 apps and games—a milestone we reached faster than Android, and a testament to the thousands of talented developers around the world who’ve supported us since launch. Together they deliver more than 200 new titles, on average, each day.On behalf of everybody at Windows Phone, THANK YOU! We appreciate your effort and creativity and the value you bring to Windows Phone users.
To mark the milestone, today we’re announcing a new batch of marquee titles. The official Audible app for audiobooks arrives in Marketplace today. Official apps from Chase and PayPal are in the works. Gameloft has Windows Phone versions of Asphalt 7: Heat and N.O.V.A. 3 Near Orbit Vanguard Alliance on the way.
And Nokia is helping deliver the much-requested Zynga games Words with Friends and Draw Something to Windows Phone later this year. Check out Nokia Conversations today for more details about this and other new Windows Phone-related announcements today. (And don’t miss the fun new “100,000 Apps and Counting” mugs and other goodies in the official Windows Phone Gear Store!)
Developers, developers, developers
Since we’re talking about apps, I want to tell developers a little bit about what they can expect in Windows Phone 8. Some of the exciting changes on the way include:- Native code support: Windows Phone 8 has full C and C++ support, making it easier to write apps for multiple platforms more quickly. It also means Windows Phone 8 supports popular gaming middleware such as Havok Vision Engine, Autodesk Scaleform, Audiokinetic Wwise, and Firelight FMOD, as well as native DirectX-based game development.
- In-app purchase: In Windows Phone 8 we make it possible for app makers to sell virtual and digital goods within their apps.
- Integrated Internet calling: In Windows Phone 8, developers can create VoIP apps that plug into our existing calling feature so Internet calls can be answered like traditional phone calls, using the same calling interface.
- Multitasking enhancements. Windows Phone 8 now allows location-based apps like exercise trackers or navigation aids to run in the background, so they keep working even when you’re doing other things on your phone.
Windows Phone 8 @ work
In Windows Phone 8, we’re also moving into the workplace in a big way, introducing a number of features and capabilities that companies and their IT departments demand. This is just one more benefit of sharing a common core with Windows 8. Some of the new business-friendly features include:- Device encryption: To help keep everything from documents to passwords safe, Windows Phone 8 includes built-in technology to encrypt the entire device, including the operating system and data files.
- Better security: Windows Phone 8 supports the United Extensible Firmware Interface (UEFI) secure boot protocol and features improved app “sandboxing,” so the phone is better protected from malware with multiple layers of security.
- Remote management: With Windows Phone 8, IT departments can manage apps and phones remotely, with tools similar to ones they now employ for Windows PCs.
- Company Hub and apps: Companies can create their own Windows Phone 8 Hub for custom employee apps and other critical business info.
New languages, update process
I get a lot of tweets asking, “When will my phone get Arabic? Farsi? Turkish?” They’re also the top feature requests on the Windows Phone Suggestion Box site.I’m happy to tell you these languages are coming! In fact, Windows Phone 8 will support a total of 50 languages, or double the current geographic coverage. We’re also expanding Marketplace, our store for apps and games, to support app downloads in over 180 countries—nearly triple its current footprint.
Another area I know many of you care deeply about is Windows Phone software updates and how they’re delivered—something we’ve gotten a lot of feedback on over the last year. Today I’m excited to tell you that we’ve been working closely with our many partners to improve the update process for Windows Phone 8, and help get you our latest software more quickly and easily.
How? First, Windows Phone 8 updates will be delivered wirelessly over-the-air, so you don’t have to bother plugging your phone into your PC to update anymore. Second, we will support devices with updates for at least 18 months from device launch.
Finally, we’re working to create a program that gives registered enthusiasts early access to updates prior to broad availability—a little gift to our biggest fans and supporters. We think these three initiatives will help keep your phone fresher than ever before.
What’s next
I know that’s a lot to digest—and look forward to. And I didn’t even mention actual phones yet!We’re really excited about the strong line-up of hardware partners who are putting their support behind Windows Phone 8. The first wave of devices for Windows Phone 8 will come from Nokia, Huawei, Samsung, and HTC, all built on next-generation chips from Qualcomm.
As I’ve said, we’re just starting to tell the full Windows Phone 8 story. Keep your eye on the official Windows Phone blog and website for more news throughout the summer. And, as always, I’m eager to hear what you think. Thanks for reading!
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