Huge Slump in Smartphone Market Share - Can Microsoft Reinvent Itself?

When you take a close look at the smartphone market, you will notice something strange. Experts often talk about what is possibly the most popular smartphone available today – the Apple iPhone. They talk about how Google Android could give Apple a tough competition. They talk about Symbian and they talk about Blackberry. They even talk about recently released smartphones like Motorola Cliq and Droid. One name that is conspicuously missing from this list is Microsoft’s Windows Mobile.

It is really surprising. After all, Microsoft entered the smartphone market long back – Pocket PC 2002, the predecessor of Windows Mobile OS, was released in 2002. Soon, Windows Mobile was released in 2003. What has Microsoft managed to achieve in the past six years? The answer is – nothing worthwhile.

Windows Mobile, as of now, is the fourth most used mobile operating system in the world. Nokia with its Symbian OS is the market leader – followed by Blackberry and the iPhone. Experts, however, predict that it might not be able to stay at that spot for long. When you take a good look at the numbers, you get the feeling that what they predict might actually come true.

In the first quarter of 2004, Microsoft’s Windows Mobile had an envious 23% share in the smartphone market. In the first quarter of 2005, there was a steady decline and its market share was somewhere around 18%. In the first quarter of 2006, it further slumped and remained with a market share of 12%. In 2008, its market share dropped to 14%. At the start of 2009, it slumped further and remained at 7.9%. If we go by the recent report from AdMob, Microsoft’s market share, as of now, is only somewhere around 4%.

It is quite a slide – from 23% market share to 4% market share in a span of just five years. In the mean time, Apple, Nokia, RIM, and even Google have made their presence felt in the market big time.

It is really hard to believe. After all, Microsoft has got everything - all the money in the world, some of the brightest minds in the world, and plenty of goodwill. Yet, it has not been able to conquer the mobile market like it conquered the PC market. While late entrants like Apple and Google have been able to generate a big buzz, Microsoft has not been able to do anything that is worth taking notice.

Apple iPhone continues to climb the ladder and even new entrants like Motorola Droid have managed to create a big buzz. With this being the case, Microsoft’s only bet is Windows Mobile 7 OS – which incorporates the elements of Windows Mobile 6.5 and Zune – which is slated for release in 2010.

The mobile phone industry, the smartphone market in particular, is expected to grow bigger by the day. Mobile advertising, as we all know, is set to grow big as well. The time is ripe and the competition is intense. The question is – can Microsoft pull it off?

Categories: All things mobile phones, Microsoft.

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Microsoft talks about Windows Mobile and Zune Phone

With Google gearing up to release Android, Apple gearing up to release its next-gen iPhone, people looked at Microsoft to come up with something new. There were rumors going on that Microsoft was actually planning to release a Zune phone which will be in the league of the iPhone and Blackberry. However, in a recent interview, Robbie Bach, the man behind Xbox, Zune, and Windows Live Mobile, has rubbished these rumors and has made Microsoft’s stand very clear.

Robbie said that Microsoft is not interested in developing an iPhone clone or a Blackberry clone. Instead, the company will focus on making Windows Live Mobile much better than what it is right now.

He also went on to say that people no longer look at their mobile phone as a mere tool for communication. People want to check emails, listen to music, surf the internet, send and receive photos, and watch videos on their mobile phone. So, Microsoft will work on making Windows Live Mobile capable of catering to a wide range of needs of mobile users.

On answering a question on mobile advertising, Robbie mentioned that while mobile phone advertising is certainly the way forward, it will be different from online advertising as it will be more personal.

I personally don’t want to see Microsoft coming up with a smart phone or whatever. We already have enough choices when it comes to mobile phones. What we need is a mobile platform which can take our mobile phone experience to the next level. That’s the reason why I’m excited about Google Android, Apple’s next-gen iPhone, and the improved Windows Live Mobile.

Don’t you think it’s easy to choose a platform which offers you everything you would probably want on a mobile phone than to choose a different, ‘latest model’ mobile phone every other month?

Categories: All things mobile phones, Microsoft.

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