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Microsoft's Windows Phone: A Dark Horse in the Smartphone Market

Strategic Insights

— 1 min read

In Silicon Valley, iPhones and Android phones seem ubiquitous, but Microsoft's Windows Phone is gaining traction, defying expectations of its past failures. Despite a negligible 5.5% market share, Windows Phone 7 is making strides, thanks to Nokia's switch from Symbian to Windows Phone software. By 2015, Windows Phone 7 is projected to occupy second place, at 20.9% of the market, ahead of iOS. Nokia's massive user base and affordable handset manufacturing capabilities are key factors in its success.

Key Takeaways:

  • Microsoft's Windows Phone 7 has made significant progress, with over 11,500 apps in its store, a milestone reached three times as fast as Google's Android.
  • Despite a small market share, Windows Phone 7 has attracted attention from successful iPhone app developers, who are adding titles for Windows Phone.
  • Nokia's switch to Windows Phone software has significantly impacted the market, with Windows Phone 7 projected to occupy second place by 2015.
  • Andrew Lees, president of Microsoft's mobile communications business, predicts that the average price of smartphones will decrease, while the total number of smartphones will increase.
  • Thomas R. Eisenmann of Harvard Business School suggests that the diminishing returns of apps after 1,000 may not be significant, making Windows Phone 7 a viable alternative.

Statistics:

  • Android is projected to occupy 39.5% of the smartphone market worldwide in 2015 (IDC).
  • Symbian is expected to hold 20.9% of the market, while iOS will stay near 15% (IDC).
  • Windows Phone 7 is projected to occupy second place, at 20.9% of the market, by 2015 (IDC).
  • Nokia sold over 452 million phones, including 100 million smartphones, in 2011.
  • Microsoft had 5,000 apps in its store by the end of 2011, a milestone reached three times as fast as Google's Android (Al Hilwa, IDC analyst).

Sources:

  • IDC
  • Thomas R. Eisenmann, Harvard Business School
  • Andrew Lees, president of Microsoft's mobile communications business
  • Al Hilwa, IDC analyst
  • Randall Stross, BYLINE

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