Microsoft, seeking comeback, to show phone software

NEW YORK — Microsoft is expected to announce a major revamp of its phone software Monday, in an attempt to regain momentum in a crucial market where it's been overshadowed.

CEO Steve Ballmer will be speaking at Mobile World Congress in Barcelona, Spain, the world's largest cell phone trade show, and analysts expect him to reveal Windows Mobile 7. The software could be in phones by late this year.

The new software comes as Microsoft, dominant when smartphones were young, has taken a back seat to Research in Motion's BlackBerry devices among corporate users and Apple's iPhone among consumers. "They seem to have lost the world's attention in smartphones," said Dan Hays, who specializes in telecommunications at management consulting firm PRTM.

The new software is expected to be more consumer-focused than previous versions, with a simplified user interface, which could be borrowed in part from Microsoft's well-reviewed — but low-selling — Zune HD media player.

"If that thing had a phone in it ... that would be a pretty darn good device," said Charles Golvin, analyst with Forrester Research. "But my own judgment is that this is kind of their last chance. If Windows Mobile doesn't get it right this time around, they're probably toast."

Microsoft is famous, Golvin said, for sticking to its projects, version after version. But developments in smartphones are coming so fast that tenacity alone won't help.

microsoft facing up to the coming WIRELESS challenge

COMING MONDAY: Microsoft CEO Steve Ballmer is expected to announce a new version of the company"s phone software Monday. Microsoft needs to recapture momentum in a crucial market where it has been overshadowed by Google and Apple.

THE NUMBERS: Microsoft"s Windows ran 9 percent of smart phones sold worldwide last year, according to research firm In-Stat. That was down from 13.2 percent in 2008.

WHAT TO LOOK FOR: Analysts say Microsoft needs to make its phone software easier to use for everyday consumers.

No comments: