Microsoft Needs Time For The Surface Phone

The company needs at least three years to debut the Surface Phone.

Microsoft Corporation has been stumbling when it comes to its smartphone business. The company has been experiencing turmoil since quite some time now but it might just come up with a one of a kind Surface Phone in 2016.

While giving an interview to Business Insider, Mr. Satya Nadella, the Chief Executive Officer of the company was asked about Microsoft Smartphone division and whether he could foresee any hope for this segment. To this he seemed to be quite optimistic where he has asked for three more years. This might just be an exaggerated time barrier.

Over the past couple of months, reports are circulating that the company will try its luck again with smartphones by coming up with another device in the second trimester of 2016. The phone is speculated to be under development and will flaunt Windows 10. Thus such a smartphone is expected in the coming three months but it certainly paves way for the idea of building an ecosystem for the Surface Phone gradually.

Over the past two annum, MSFT has made an acquisition of the Finland based company Nokia for an amount of $7.2 billion. The idea behind this acquisition was to change the fate of the company and take it to a whole new level. Sadly, the company could not really pull it off where its Lumia range has struggled to a great extent. As a consequence, the market share of Microsoft in the global Smartphone fraternity has gone down from 3% to 2% in a short span of time.

The Windows giant came up with an upgraded version of its operating system, Windows 10 back in July, 2015. After this, they launched, the Lumia 950 and Lumia 950 XL which again failed to garner traction. As per recent surveys, almost half of the company’s userbase is anticipating a Surface Phone.  Considering the feedback they have observed and the demand for their products, they might just come up with a Surface Phone to please its users.

At this point of time, the Surface3 range is one of the most demanded hardware business of the company. Microsoft initially came up with Surface tablets and later churned out laptops that took the industry by a storm. So considering the growth trajectory, it is speculated that the Surface Phones will not do badly as well. The software behemoth has become successful in making Surface a premium brand amongst consumers. This is what it has failed to do when it comes to smartphones.

The company was never targeting the premium consumers which Apple Inc. and Samsung Electronics have targeted via their smartphones. The company was always inclined to lure the low end consumers which caused damage to its business model. Thus, the products by Microsoft are only used by the low end market and are thus compared to cheap smartphones. This has dented the company’s image.

The company needs to tweak its strategy and target the high end consumers who have the spending power but for that they need to come up with an evolutionary smartphone.