gmtoday_small.gif

 


Latest Windows phone coming next month

September 7, 2009 


SEATTLE Microsoft is rolling out a new version of its mobile-phone software, Windows Mobile 6.5, on Oct. 6 , in hopes of staying afloat in the competitive marketplace for cellphones that e-mail, snap photos and surf the Web.

While analysts say Windows Mobile 6.5 is not yet the answer to Apple's iPhone, Microsoft is starting to turn the marketing message away from the focus on "Windows Mobile" software to the brand "Windows Phone."

The previous version of the operating system, Windows Mobile 6.1, came out in January 2008 .

Windows Mobile 6.5, aimed largely at mobile phones often referred to as smartphones, offers incremental improvement with touch-screen features, easier Web browsing and a new Windows app store called Windows Marketplace for Mobile.

Like the Apple iPhone Apps Store , the marketplace will be a place where any developer can sell mobile-phone applications. It will also have fewer restrictions on developers than the iPhone store, according to Greg Sullivan , senior product manager for Windows Mobile.

Microsoft is also now calling phones that use its software "Windows phones," a name Entertainment and Devices Division President Robbie Bach dropped at Microsoft's Financial Analysts Meeting at the end of July.

"You'll see a push around this idea around a Windows phone that helps tie together your world of information to really deliver this end-to-end experience that we're enabling," said Sullivan.

It will not be an iPhone, Apple's popular mobile phone, which Apple controls from hardware to software.

Microsoft intends to stay focused on developing the software, with multiple device manufacturers and wireless carriers focusing on the services and the handsets.

In a news release, Microsoft said U.S. carrier partners for the new Windows phones include AT&T , Bell Mobility, Sprint and Verizon Wireless . Device makers include Hewlett-Packard , HTC, LG, Samsung and Toshiba .

Microsoft has lost ground in the mobile-phone market, dropping from 14 percent to 9 percent market share in the second quarter of 2009 compared with the same period a year ago, according to a report by Canalys.

Microsoft is now trailing most of its competitors. Symbian has 50 percent of the market, BlackBerry-maker Research in Motion has 21 percent, and Apple has 14 percent. Google trails at 3 percent with its Android software.

Sullivan said 50 million mobile phones now have Windows on them, and he expects the market to grow into the hundreds of millions.

"We take a long-term view," Sullivan said of Microsoft's share. "We're at a relatively early stage of smartphone adoption. The kind of growth the market will see is very significant over the next few years."

Matt Rosoff , an analyst at Directions on Microsoft , an independent research firm in Kirkland , calls the Oct. 6 product a rest stop on the way to Windows Mobile 7.0.

"I think it's a Microsoft -doesn't-want-to-lose-more-market-share release," rather than a substantive competitor to Apple's iPhone, he said.

Rosoff expects Windows Mobile 7.0 will integrate music-playing features from Microsoft's portable music player Zune.

He does think there is room for Microsoft to come back in the market because many people replace their phones every two years.

The frequent replacement leaves room for new companies to make headway against established companies. Palm, for instance, recently started selling the Pre to compete with the iPhone.

Microsoft declined to say when Windows Mobile 7.0 will come out. Rosoff predicts a release in the second half of next year.

 


McClatchy-Tribune Information Services