Market Share

Courtesy: CNET

Microsoft’s Windows Phone 7 team made an aggressive move last week in the mobile OS market. In an attempt to bring popular mobile applications to Windows Phone 7, Microsoft is offering iPhone Developers CASH to develop games for WP7. While it is still technically a “rumor” because Microsoft will not confirm, many popular iPhone developers have been surfacing their [new] relationships with Microsoft. Multiple sources are reporting that Microsoft is approaching popular iPhone developers with ‘significant cash offers’, in order to motivate them to switch allegiances.

Microsoft’s strategy is genius. In order for WP7 to be [more of] a success upon its release date (still unknown, but i’m guessing July), they need GAMES to compete with iPhone. Cash is King to mobile developers. Why develop apps for the iPhone and wait for revenue, when Microsoft will pay you up-front for your work? If you were approached by Microsoft and get asked to switch mobile platforms, would you do it? What if there was a $10,000 cash sign-on bonus? I’ll answer for you: yes you would switch. Microsoft knows that mobile applications are only as good as the developer that creates them. With this in mind, Microsoft most likely started this campaign as an aggressive move to gain back mobile market share (mostly from Apple). This is very similar to dangling a carrot in front of a horse. I’m not at all trying to compare developers to horses, no that can’t be my main point.  Well in a way, I am. Cash is something that everyone wants, and with the right amount you can “make friends” with almost anybody… even Apple fanboys.

So how many games does the iPhone actually have? Hovering around 200,000 as of this post, the iPhone blows Android, Palm, and Windows Mobile 6 right out of the water. Palm is like a little firecracker that will make your ears ring. Android is like TNT, it can cause some damage.  But the iPhone, at least at this moment in time, is like a Tsar Bomb relative to the other mobile operating systems in regards to available applications.

The competition is getting heated, and it’s getting more and more obvious to consumers like us.  Overall, I’m content with Microsoft paying developers to switch from the iPhone to WP7.  It shows me that Microsoft has not, and will not, bow down to the iPhone.  But at the end of the day, the winner will be the platform that has the most applications available for its users.

Photo from Engadget WP7 Leaked

'Windows Phone 7 Mobile ROM Leaked' | Photo from Engadget

Ok, I don’t care what mobile carrier or model phone you have at the moment. We ALL know you’ll have a brand new mobile phone in less than two years. According to Fonebak, the largest mobile handset recycling company in the world, United States consumers upgrade their mobile phone every 18 months; and every 15 months for Europeans; and every 9 months for the Japanese (wow). Don’t lie to yourself, you love new technology.

Photograph by Alamy

'Global Cellular Users' | Photograph by Alamy

Ok, let us put things into perspective for you and I: the mobile consumer:

First and most importantly, it makes it a lot easier to understand why software leaks like this. It all comes down to the business processes that drives the mobile technology sector. The majority of mobile hardware (like your Nexus One, HD2, Touch Pro, etc.) are manufactured in countries with cheap labor and raw material costs. Yes, I’m referring to China.

For many people, this doesn’t seem logical. Why would Microsoft, a leading US technology company, give foreign companies privileged information about upcoming products? Well, you need to know a bit of history between Microsoft and HTC. Obviously, Microsoft is one of America’s largest technology corporations today. Now, HTC is a wealthy Chinese corporation that manufactures mobile devices for ALL mobile operating systems. Remember, Chinese business practices are much different than America’s or the EU. They don’t necessarily agree to “exclusivity contracts” which are common in the US and EU. So, for HTC to choose to endorse Microsoft’s upcoming Windows Phone 7 project… it is a big deal. HTC shows no ‘favoritism’ between WP7 and Android as long as they believe in their future success. Do you see where this going?

Anyway, back to the leakage. What happened is that somehow a .NBH (ROM update file used by HTC) was extracted from the Mondrian model. [Credible] rumors are saying that the device has the very first build version of Windows Phone 7 (or Windows Mobile 7… whatever). At any rate, do no fret or become anxious for WP7. It’s comin’.

As Americans or Europeans, this is how our global economy works (we minimize costs by outsourcing to China, maximize profits by selling to US and EU, but also maximize consumer satisfaction). In fact, this strategy ultimately drives down the retail costs to end consumers like you and me. But what happens when someone on the inside, like the Chinese manufacturers, leaks vital information about future products?

Well, for starters, people freak out. And for good reason, WP7 is close at hand.

The conclusion here is that HTC will be the first cell phone manufacturer to have the huevos to release Windows Phone 7 into the market. AT&T has has OCD in regards to the iPhone. They just renewed an exclusiviely contract with Apple until 2012. In my opinion, the corporate board of directors should be in a state of self-loathing and hang their heads in shame for this act. It’s one thing to rebuke another competitors product, but Apple and Microsoft seem to be in a state of Total War, with the main goal being majority market-share.

WM7 Release date

The fellows over at PCworld decided to waste their time speculating their 2010 predictions.  Come on guys, you might be smart but don’t be so arrogant to think that you can predict the future.  Look at how many people actually recommended the story :P

The reason for the grill is because they claimed that Windows Mobile 7 will be pushed back to Q1 of 2011.  This is complete nonsense!  The release date of Windows Mobile 7 is still Q4 of 2010.  Most likely October in order to gain market share and build hype for the Holiday season.

Quit your speculating, PcWorld!

EDIT, November 20th, 2009. Windows Mobile 7 will actually be officially announced at the MIX conference in MARCH of 2010. I can only assume that Ballmer will give us a release date for WM7. Getting exciting boy.

It’s a little too easy to say that Windows Mobile 7, Microsoft’s little secret, will be here “soon”.  That’s not soon enough!

The fact of the matter is, Windows Mobile 7 won’t have an official, official date until late 2010.  Most likely October.  Why?  Because Microsoft can sit back in their comfy recliners and throw us release dates all day.   But they’ve already changed Windows Mobile 7′s release date twice (it was pushed back because of 6.5 and then again for unexplained reasons).

Keep in touch though and don’t lose hope.  Microsoft is determined to make Windows Mobile 7 a success, says CEO Steve Ballmer.  We know Microsoft won’t leave us consumers out in the wind.

All I can say is that the Windows Mobile team has admitted defeat in the Smartphone market share arena.  They are going to take as much time as they need in order to be sure they have their big corporate foot in the door.