Microsoft has recently announced changes to its smartphone business and strategy. In a new internal email, Microsoft informed their partners about their new strategy (via WindowsCentral) . Business, Security and Continuum are now the focus of Windows 10 Mobile.
Concentration on core markets
Microsoft is not going to support all markets any more. Instead, they are going to concentrate on so called “core markets” for their phone business: Germany, US, UK, Austria, Belgium, Denmark, Switzerland, Finland, Netherlands, Ireland, Italy, France, Australia, Poland, Spain, Portugal, Norway, and Sweden.
Probably, these are the only countries where new phones from Microsoft will be available and sold by Microsoft in the future.
I can understand the concentration on these markets because Microsoft wants to give OEM partners a chance to sell their own Windows 10 Mobile devices, especially in countries like Brazil or India. Microsoft itself will not make budget phones like the Lumia 540 anymore. They are focusing on high-end devices (like Surface) and expect OEM partners to pick up the budget phone business. Nevertheless, Microsoft will support their OEM partners and work closely with them to bring great phones to the markets.
Business is now the new focus
Normal smartphone users are not the main focus of Microsofts phone business anymore. Business and enterprise consumer are now the new target and Microsoft wants to persuade them with security, manageability and features like Continuum.
Windows Phone 10 Mobile is dead?
We always hear people saying “Windows 10 Mobile is dead!”. However, that’s not true because Microsoft is pulling out of the highly-competitive consumer market but is starting to concentrate on business costumers. They are not killing Windows 10 Mobile or their total phone business – they are just changing its focus. Nevertheless, we will not see many new phones from Microsoft in the future. The company is probably just releasing one or two high-end phones per year – and that’s it. Low-end and middle-class devices for normal consumers should be made by OEM partners. That’s at least the plan, we have to wait and see how it goes.