Microsoft To Release Surface Phone In FY16

Microsoft expected to launch the Surface Phone during 2QFY16

So weeks pass and rumors regarding the Surface Phone by Microsoft Corporation continue to surface. It was recently reported by Windows Central that the company has plans to come up with a premium smartphone that will be unveiled during the second quarter of the fiscal year of 2016. This is that phone with Surface lovers had been waiting for since a relatively long span of time now. The tech giant wishes to achieve a sound ecosystem platform in the times to come and with this launch the company has come a step closer to its dream.

As per reports, the steam for Surface Phone that is has other milestones like the Surface Book and Surface Pro 4 has given up on the thought of using Windows 10 that is powered by Intel. So the company has geared up to reveal the Surface Phone in the coming year.  This smartphone is said to be the first flagship smartphone and the person who is considered to be the brains behind this venture is Mr. Panos Panay. Mr. Panay is the man who has contributed drastically to the well-being of Surface tablet. A premium smartphone will be launched by the company but it now seems unclear if this smartphone will be the Surface Phone.

The first few rumors that penetrated on the Internet regarding the Surface phone was given a codename as “Project Juggernaut Alpha”. The screen resolution for the upcoming device is 1440 x 2560p which is likely to boast of a 5.5 inch AMOLED display. Previously rumors were also observed that the device was expected to be powered using Intel Atom X3 chipset. Moreover a DDR5 RAM that has a storage space of 4GB was also sported. This is actually amazing for the company feature Continuum on Windows 10 Mobile.

Most analysts believe that the new device by the company will be launched at the hardware event next year scheduled for October but the company has also launched two Lumia smartphones in October FY15. This led to the speculations that the company has put a halt to Surface Phone.

At this point of time the company has a lot of hopes associated to this product since the company now hopes by the launch of the Surface Phone they will be actually successful in competing with the likes of smartphone giants like Apple, Samsung etc. moreover, the company also believes that they might be successful in engaging the enterprise sector since Surface products are quite popular amongst them.

Is Microsoft Smartphone Strategy Actually Effective?

Microsoft smartphone business is sinking resulting in a restructuring plan.

Microsoft Corporation is all set to encounter a restructuring plan in terms of its phone business. That will result in the layoff of almost four fifth of the workforce at Nokia where they wish to establish themselves as the industry giant. The company’s core strategy at this point of time is to embrace a turnaround.

The plans to undergo a restructuring plan were announced by the company recently which encompasses a layoff of 7,800 individuals that will belong to the phone business division. Microsoft products have now chalked out its niche audience where it wishes to target those users “business users, cost-conscious customers, and Windows lovers.”

Under the able leadership of Mr. Satya Nadella, the chief executive officer of the company a second round of layoff is likely to take place now. Initially Mr. Nadella bid farewell to almost 18,000 employees.

The tech behemoth is all set to jot down the overall worth of the company’s Nokia handset division which they acquired earlier for an amount of $7.6 billion. Moreover, it has also been estimated by the company that an amount of $750-850 million will be spent for restructuring purposes.

According to Bloomberg, Mr. Nadella wrote an email for the employees that stated, “We are moving from a strategy to grow a standalone phone business, to a strategy to grow and create a vibrant Windows ecosystem including our first-party device family. In the near-term, we’ll run a more effective and focused phone portfolio while retaining capability for long-term reinvention in mobility.”

This strategy by the company is aimed to establish itself as a key player in the phone business unit that will streamline the focus and Microsoft where they will target a limited consumer base. This was the strategy earlier in order to sell the company’s tablet division.

The strategy he used to sell the tablets as that they reduced the range of targeted users in order to become popular which eventually helped them embrace growth where revenues soared substantially and profits also increased to a great extent.

The new strategy by Microsoft seems to come at a relatively critical time frame. The acquisition of Nokia did not really prove fruitful for them since that time there sales have declined substantially. The aim behind this acquisition was to penetrate Microsoft Windows operating system. However, it failed to do that miserably to do so.

So now this will not only help Microsoft redeem its position as a smartphone maker but will also bolster Windows.