Windows Phone was Microsoft’s attempt to break into the mobile operating system market dominated by iOS and Android. First released in 2010, Windows Phone boasted a slick Metro-style design language and integration with Microsoft services like Office and Xbox. Despite positive reviews praising its unique user interface and software features, Windows Phone struggled to gain meaningful market share and was eventually discontinued in 2017.
Why did Microsoft develop Windows Phone?
In the late 2000s, Microsoft realized it was missing out on the rapidly growing smartphone market. iOS and Android were becoming duopoly leaders, while Microsoft’s old Windows Mobile OS was fading into irrelevance. Microsoft felt it needed a modern, touch-friendly OS to compete in the new mobile landscape. Windows Phone was meant to be a complete reboot that could capture the excitement of iPhone and Android.
Microsoft had significant mobile assets it could leverage, including deep expertise in operating systems, Microsoft Office, and technologies like Exchange. By integrating these elements into Windows Phone, Microsoft hoped to deliver a robust platform that offered seamless synchronization with desktop Windows PCs. This would differentiate Windows Phone from rivals and give it strong appeal for enterprise and business users.
What were the key features and selling points of Windows Phone?
Windows Phone emphasized clean, dynamic design and integration with other Microsoft products:
- Metro UI: The Metro design language was optimized for mobile with an emphasis on easy navigation, seamless transitions, and glanceable information.
- Live tiles: Animated live tiles on the home screen delivered notifications and information without needing to open apps.
- Office integration: Windows Phone came with built-in Microsoft Office apps like Word, Excel, PowerPoint and OneNote.
- Xbox integration: Gamer-focused features like Xbox Live integration, avatar support and game hub.
- Exchange support: Native support for Microsoft Exchange gave Windows Phone strong appeal for enterprise use.
- SkyDrive: Tight cloud integration with Microsoft’s SkyDrive (later OneDrive) service.
- Free Office: Later Windows Phone models included free Office 365 subscriptions.
These features were meant to make Windows Phone highly functional for work and play, with a uniquely Microsoft spin.
How did Windows Phone perform in the market?
Despite positive reviews about the software itself, Windows Phone faced an uphill battle gaining market share against the entrenched iOS/Android duopoly:
- Lack of apps: The Windows Phone app store lagged far behind iOS and Android in number and quality of apps.
- Limited hardware: Restricted hardware support meant relatively few Windows Phone models compared to rivals.
- Late start: Windows Phone was a late entrant, launching in 2010 when iOS and Android were already established.
- Carrier support: Microsoft struggled to garner strong carrier relationships and marketing support, especially in the US.
- Enterprise adoption: Businesses were slow to adopt Windows Phone given the dominance of iPhone and Android.
As a result, Windows Phone market share stalled in the single digits:
| Year | Windows Phone Market Share |
|---|---|
| 2011 | 1.8% |
| 2012 | 3.1% |
| 2013 | 3.4% |
| 2014 | 3.1% |
| 2015 | 2.5% |
It failed to threaten iOS or Android and remained a niche player.
What were the major issues and challenges?
There were a number of factors that contributed to Windows Phone’s lack of adoption:
App gap
The missing and often inferior app selection compared to iOS and Android was a massive issue. Many popular apps like Snapchat were late to support or completely missing from Windows Phone. The platform struggled to attract developers.
Fragmentation
Microsoft’s purchase of Nokia’s phone business led to internal conflicts between its own Lumia line and Nokia’s older devices still running Symbian. Microsoft couldn’t focus its efforts on Windows Phone alone.
Too little, too late
Windows Phone didn’t launch until 2010, 3 years after iPhone and 2 years after Android. Its radical Metro design alienated users who were already accustomed to iOS and Android. Trying to attract developers at that late stage was very difficult.
Lack of hardware innovation
After an initial splash with Nokia Lumia devices, Windows Phone hardware offerings grew stale. Microsoft failed to innovate or offer features not already standard on iOS and Android devices.
Enterprise apathy
Businesses did not warm up to Windows Phone devices like Microsoft had anticipated. iOS and Android provided plenty of enterprise functionality by that time. Windows Phone’s Exchange support was no longer a unique selling point.
What was the downfall of Windows Phone?
The ultimate downfall came when Microsoft acquired Nokia’s phone business in 2013 for $7.2 billion. This was supposed to save both Windows Phone and Nokia’s slumping hardware divisions. But it failed for several reasons:
- Integration issues: Meshing two large companies with different cultures and priorities proved extremely challenging.
- Duplicated roles: There was too much overlap between Microsoft and Nokia employees working on Windows Phone.
- Bureaucratic infighting: Internal politics and dueling priorities between divisions sabotaged development.
- Windows-first focus: Microsoft prioritized Windows on mobile over Windows Phone as a platform.
In 2015 Microsoft took a $7.6 billion write-down on the Nokia acquisition and cut 7,800 jobs related to the failure of Windows Phone. In 2017 Windows Phone development was halted and Microsoft fully exited the mobile OS business.
Were there any positives to take away?
Although Windows Phone was not a commercial success, it did offer some positives:
- Design influence: The Metro design language pioneered on Windows Phone inspired the look of subsequent Windows desktop OS releases.
- Software innovations: Features like live tiles and Cortana were innovative on mobile and later brought to desktop.
- Business lessons: Microsoft learned difficult lessons about mobile OS development that could help its future Surface Duo Android devices.
Could Microsoft have done anything differently?
Here are some key things Microsoft could have potentially done to improve Windows Phone’s chances:
- Focused on enterprise first: Attract businesses with Exchange support before trying to win consumers.
- Incentivized quality app development from the start: Paid developers to build Windows Phone apps and eliminated barriers to porting.
- Leveraged Xbox brand power earlier: Use popular Xbox gaming reputation to attract younger users.
- Fast follow model: Iterate quickly based on iOS and Android innovations rather than develop standalone in secret.
- Drop Nokia acquisition: Partner strategically with Nokia rather than acquire and integrate entirely.
Could Windows Phone make a comeback?
It is highly unlikely Windows Phone could make any meaningful comeback in the future. The OS simply lost too much momentum and suffered an eroded developer ecosystem. Even Microsoft recognizes it has switched to a cross-platform mobile strategy focused on iOS, Android and Windows rather than its own OS.
Potential patent lawsuits from Microsoft against Android OEMs show the company has moved on. Some analysts believe Microsoft’s Surface Duo points to a hybrid mobile/desktop strategy that could bear fruit long-term. But pure Windows Phone hardware and OS development has ceased entirely with no signs of returning.
Conclusion
Windows Phone represented a bold but ultimately failed effort by Microsoft to reinvent itself as a mobile OS leader. Its slick design and Microsoft integrations couldn’t overcome the app gap, fragmented management, and delayed inception compared to iOS and Android. Windows Phone serves as a cautionary tale of how hard it is to break into and compete in the mobile operating system market against entrenched rivals with enormous developer and consumer buy-in.