The Windows Phone may be the best but it isn't helping Nokia

Nokia Microsoft

Chances are if you’re reading this article that you and most of the people you know have a smartphone. If you put them all in a room and asked them to put their smartphones on a table, you’ll likely see various Android devices mixed in with (depending on who you have as friends and family) approximately the same number of iPhones.

What you probably won’t see are many (any?) Windows Phones.

When it comes to speed, performance, and UI, many would agree that the Windows Phone is equal to or greater than its competitors. Microsoft put their money where their mouth was recently at their various stores and at CES 2012 with their #smokedbywindowsphone campaign by offering $100 to those who could beat them doing everyday activities like posting images to Facebook or finding local restaurants.

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It hasn’t translated into the types of sales they or their partners at Nokia have been expecting. In their filing of their 2011 Annual Report to the SEC, Nokia identified their relationship with Microsoft as a “risk factor” going forward due to the inability of the hardware/software combination to gain traction. Despite strong sales, Nokia still showed a $1.4 billion loss.

“If we are not successful in the smartphone market,” Nokia reported, “our business would become more dependent on sales in the feature phone market, which is, especially at lower price points, an increasingly commoditized and intensely competitive market, with substantially lower growth potential, prices and profitability compared to the smartphone market.”

The biggest challenge they face is in getting developers to build more apps. The Android and iPhone markets for apps have a huge head start and are pacing much faster than Windows Phone apps despite strides the company has made to improve it. Future releases will spark sales as will added marketing, but will it be enough to make the product relevant and keep Nokia from switching gears?

Written by Connor Livingston

+Connor Livingston is a tech blogger who will be launching his own site soon, Lythyum. He lives in Oceanside, California, and has never surfed in his life. Find him on Twitter, Facebook, and Pinterest.
SEE MORE ARTICLES BY "Connor Livingston"

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4 Comments »

 
#1
Anthony IamTiger Lee
March 11th, 2012 at 9:35 pm

Are you serious?? Nokia is just getting started. They haven’t even released their top of the line phone yet.. And the report is for 2011. They didnt start selling their Windows Phone until Nov. 2011. Of course killing one OS and swithing to another is a risk-factor. Think of everything involved… It took nearly a year to switch gears and have everything in place to change direction..

 
 
#2
Siyamalan
March 11th, 2012 at 11:49 pm

Hey Writer.. Please give sometime for Nokia to give their results..  You should think about Android and the slow start it got during its initial years..

Alright!  Please name 4 real important apps missing on windows phone

 
 
#3
Anonymous
March 12th, 2012 at 2:53 am

Microsoft waited to long while the mobility market passed them by…

No one can save them now :-(

 
 
#4
Ankur
March 13th, 2012 at 6:45 am

We should wait for atleaset a year or two before doing maths of this.

 

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