Could the Microsoft + Nokia Deal Push Their Handset Sales To 100 Million/Year?
Well, Microsoft thinks so. Kevin Turner, Microsoft’s COO, was quoted saying “we have dreams and aspirations that we can get to 100 million units per year with that single deal” during his WPC 2011 keynote. Although Steve Ballmer did comment on saying Windows Phone 7 market share is still very small, the Nokia deal could very well multiply current sales numbers. However, whether they can reach 100 million is an overestimation especially considering past sales number, including sales at launch, have yet to surpass 1 million/month. While many manufacturers like Samsung, HTC, and LG have all made Windows Phone 7 devices, there hasn’t been the same eagerness and passion that has gone into developing Android devices such as the recent HTC Sensation and Samsung Galaxy S II. With Nokia’s global reach and undivided focus in maturing Windows Phone, it will be a make or break situation for Microsoft.
Some may ask, why is the situation solely affecting Microsoft? Sure, Nokia is investing capital into constructing the hardware, but that’s essentially it. Don’t get me wrong though, Nokia is creating select software such as Maps for Windows Phone but that software has been available for many devices including Symbian and the web, ultimately allowing Nokia to merely port the software over. In addition, hardware can always be reused and in this instance for other competing operating systems such as Android or even MeeGo if the deal ever went sour. With the software-only approach Microsoft took with Windows Phone, one cannot function without the other, with the other being hardware. If Nokia can’t advance the brand given it’s global recognition and advanced engineering, then personally I think no one can.