Between the Lines

Larry Dignan, Andrew Nusca and Rachel King

Windows Phone 7 could pose a threat to Android (report)

By | September 20, 2011, 9:51am PDT

Summary: Android is the undeniable leader in the domestic smartphone market share as of late, but that could change as consumers become more aware of other mobile platforms besides those of Google and Apple.

Android has consistently been at the top of the U.S. smartphone market share for months now, but a new report suggests Windows Phone 7 could be a bigger threat than we would expect.

According to a new report from Connected Intelligence, a service of the research firm NPD Group, found that Android generates more interest than any other OS with 63 percent of the responses and it was labeled as the platform that consumers are “most interested in” with 36 percent.

Last month, the NPD Group suggested that Android’s momentum is so strong right now that it could even boost Motorola Mobility if the bid by Google is approved.

However, there is room for other operating systems — most notably Windows Phone 7. The problem for WP7 is that 45 percent of consumers are still not aware of it. Additionally, 44 percent of smartphone owners, and those who intend to buy one, said that they are at least considering to purchase a Windows Phone 7 device.

Linda Barrabee, a research director for Connected Intelligence explained in a statement that although the Android “juggernaut” continues, it is still facing strong competition from Apple’s iOS and even Windows Phone 7.

Windows Phone 7 has a way to go before consumers really understand what it is. But with the right marketing mojo, apps portfolio, and feature-rich hardware, Microsoft could certainly improve its standing and chip away at Android’s dominant market position.

Over the last few months, Microsoft has flailed a little bit in the U.S. smartphone market, dropping from 7.5 percent of the U.S. smartphone market share in March to 5.8 percent in June, according to a report from comScore in August.

Of course, this interest will shift undoubtedly, either in favor or against Microsoft, once Windows Phone 7 with the awaited Mango update and then Windows Phone 8 roll out.

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Rachel King is a staff writer for ZDNet based in San Francisco.

Disclosure

Rachel King

Rachel King has no business relationships, affiliations, investments, or other potential conflicts of interest relating to the content posted in this blog.

Biography

Rachel King

Rachel King is a staff writer for CBS Interactive in San Francisco. Before serving as a contributing editor at ZDNet in New York City for two years, she previously worked for The Business Insider, FastCompany.com, CNN's San Francisco bureau and the U.S. Department of State. Rachel has also written for MainStreet.com, Irish America Magazine and the New York Daily News, among others. Rachel has a B.A. in Mass Communications and History from the University of California, Berkeley and a M.S. in Journalism from Columbia University, where she served as art director for the student magazine, Plated.

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jmidvxt 61 jpm
cmakrekdw87-24379046623921217003298695612322 25th Nov
vaykmy,ctbqsrju25, zxoqv.
0 Votes
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Unlike SJVN and DTS that like to blame all of Linux's problems on everyone else, WP7's poor performance in the market is all MS's fault. It is inexcusable that ~50% of consumers don't even know what WP7 is. I bet that ~100% of consumers know what iPhone is.

WP7 is not a bad OS so technically, MS did a good job. They even have an okay ecosystem with Zune (as long as you live in the right country) Xbox, and Live.

But MS really dropped the ball on all other aspects of this product. Shame on you Microsoft.
@toddybottom It's not surprising that many consumers don't know what Windows Phone 7 is yet. Every time there is a major sporting event on TV it's wall to wall Android commercials from Sprint, Verizon, and T-Mobile. The thing is Microsoft is dependent upon the carriers to advertise Windows Phone handsets and they're not doing it (on TV/Radio/Magazine or in-store). Other than AT&T no carriers in the U.S. have run TV ads for Windows Phone. And none of the smaller regional carriers even have a Windows Phone to sell.

The upcoming Mango version of the OS is more than "not bad," it's much better than Android. Microsoft needs to expand their carrier relationships beyond just AT&T and start getting the other carriers including the small guys (ie. MetroPCS, Cellular South) excited about the platform.
@cool8man MS is not dependent on the carriers to advertise, they are more than welcome to do so themselves and I am sure the carriers would be thinkful as well.
@toddybottom

Or that it's tied to itunes for it's ipod functions and will wipe on another account. Minor details to devotees BUT pretty big to someone that travels extensively. Under 24 hours on 3g and bluetooth is really well below average, and thats with hardly any calls to pseak of.

Agreed nobody will listen about Win7, not even me. I've got my iPhone4, HTC wildfire and Blackberry Torch (at least two days on one charge for each of them). Maybe not a big deal to some but a big deal to me.

There is NO perfect phone for everyone. We're all individuals but a great many are swayed by the marketing. Apples is really good.... even down to the 'steps have been shortened' in the adverts. Yep..... very shortened!
@toddybottom You know for Steve Balmer being such a marketing person. He sure has lost that ability. I remember when he was pushing Windows 3.1. Now Microsoft can't seem to get any press, decent reviews or even comments from consumers. If I were Steve balmer I would create a deal on a Windows phone nobody could refuse. That's the only way Microsoft is going to get a foot into the smart phone market. Otherwise its just Android and Apple.
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Is NDP ever right?
Bruizer 20th Sep
Seriously. Go back and look at their past predictions. It is analysis using a dart board.
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Marketing, Marketing, Marketing
jjworleyeoe Updated - 20th Sep
MS has to start marketing WP7 as cool and steal the DRIOD playbook. Nokia will certainly market well, and as we approach W8 release hopefully late next spring, Joe Consumer will come to recognize how different and potentially better the Metro UI is than iOS and Android.
@jjworleyeoe
They don't necessarily have to market it as "cool" some much as market it period. Also, I went into my t-mobile store and they could find the one WP7 phone they were supposed to have on display. Great marketing - NOT.
@sackbut There are several facets to marketing. Obviously, MS has to correct the brick and mortar store bias against WP7. But more than that, they have to stop making their message seem so "intelligent". Rather, just show how dang cool the phone's interface / features are much like the DRIOD commercials do.
@sackbut - I went into my local Sprint store and found myself educating the sales staff on the phones they were selling! That is inexcusable. There is no way that a sales staff shouldn't know enough about these phones to sell them. I have been saying for months that if Microsoft offered a free phone to every sales person that worked in a store that sold their system, they would be selling like mad.
@jjworleyeoe People keep saying make WP7 look cool like the Droid commercials, but Motorola is not doing well lately. Motorola marketshare has been dropping like a rock since the original Droid. Motorola's new commercials/marketing don't tell you anything about the phone/tablet. They're pretty terrible IMHO.

The best kinds of ads are like the iPhones. Just simply teaching people about what the phone does that the other phones don't do works best. That's why the original "Droid Does" ad campaign was so effective. It explained what Droid Does and what iPhone doesn't do. That's what Windows Phone needs.
@sackbut I agree. I live in Saskatchewan and the only "GOOD" mobile provider is Sasktel and they only have one Windows Phone 7 (LG Optimus) which I like but I would prefer to have choice. In the local ads they never have windows phones. I bought one because I read a lot and pay attention, but it was hard to find one to play with to make sure it was the right choice. It was happy
@jjworleyeoe

I really dont like the Metro UI I think it is a Disaster for Microsoft. The dont sell
@jjworleyeoe I don't even know if it's all marketing. I went to Sprint last weekend to get both of my kids new phones. They are both into xbox and have zunes so they were interested in the Arrive. I asked if we could look at one because all they had on display was the box. She said "oh, you don't want that phone, it's not android". I explained that we were very familiar with what it was and wanted to see it. She checked their inventory, none. She checked their regional inventory, none. She checked the entire district, based out of a large town about 200 miles away, none. We would have bought 2 HTC Arrive windows phones, if we could. Ended up getting an HTC EVO Slide and an HTC EVO 3d (which is pretty cool, by the way). I'm pretty agnostic when it comes to mobile os'. I have had WebOS, Android, Iphone. Really wanted to try the WP7 but just couldn't. Oh well.
If I had to choose between Android or WP7, I will choose WP7 without hesitation every time. But it will take more than a smooth UI and Apple-like attention to details to sway this market.

The last advertising I saw from Microsoft they were trying to convince us that WP7 was going to cure our addiction to smart phones. By making us use it less. Why?
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Why are Apple fanboys so stupid?
toddybottom Updated - 20th Sep
@dave95.
We constantly hear from stupid Apple fanboys about how great OS X is because it doesn't require constant reboots, constant AV scanning, constant defragging, etc. OS X is wonderful because it lets you get your work done quickly and efficiently and lets you spend more time with your family and friends. Windows is terrible because you have to use it so much more and it keeps you away from your family and friends.

Why doesn't Apple put slower processors in their Macs? Why doesn't Apple add some artificial slowdowns in the OS? How about if OS X were to ask you a complex math problem every time you wanted to run a program? Then you could use OS X for far longer periods of time. Instead, it is almost like Apple wants you to be able to get your work done in less time and therefore use OS X much less. Why?
@toddybottom

Running Windows 7 in this household not OSX (good try at generalizing though NonZ).

Not sure if they've since changed it but the marketing message for WP7 is all wrong: " A phone to save us from our phones "? What? Insinuating that users are somehow frustrated with their current smart phones. And all they really want to do (with their cool expensive phone) is get in and get out, quickly. Not sure what marketing research they did for WP7 but I don't know anyone who uses their smart phones the way WP7 ads described it. There seem to be a disconnect in the marketing campaign and how users really are using their phones. For a sixth consecutive time, Apple ranked highest among manufacturers of smartphones in customer satisfaction (838 on a scale of 1000 points) . Followed by HTC, and then Samsung and Moto. Nowhere is WP7. Customers are currently happy with their phones, MS is missing the target completely.

Smart phone users are glued to their phones because they love it, not because they're frustrated they're not able to get to their information, quickly. It's like telling a drug user to buy this new WP7 drug instead, it will give you a much much shorter high than you're used to having with your current drug. Why?

http://www.brighthand.com/default.asp?newsID=18147&news=J.D.+Power+Apple+HTC+Samsung+Motorola+LG+BlackBerry
@dave95.
>> Apple ranked highest among manufacturers of smartphones in customer satisfaction (838 on a scale of 1,00 points) . Followed by HTC, and then Samsung and Moto. Nowhere is WP7. Customers are currently happy with their phones, MS is missing the target completely.
Well last time when I checked Microsoft is not making phones, they sell OS to HTC, Samsung and other OEMs.
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You are still such an idiot
toddybottom 20th Sep
I'm not insulting you, I'm insulting idiots when I call you an idiot.

I'm sorry for you that you are too stupid to understand that taking 5 seconds to check on the status of your email is better than taking 15 seconds. Your family must weep at your inability to see that taking 5 seconds to check on the weather forecast is better than taking 30 seconds. We all laugh at you when you try to convince us that OS X would be better if it took 30 minutes to log in so that we could all use OS X "more".

As for your idiotic mention of satisfaction ratings, just because something is good today doesn't mean it can't be better tomorrow. I have an iPhone. I'm very satisfied with my iPhone. My iPhone could be better though. iOS 5 is actually a huge step in the right direction because Apple is copying MS's strategy of creating a UI that lets you do the same amount of work in less time. When iOS 5 comes out, I'll be able to glance at my lock screen and see more information. How about that. Apple is making changes so that I'll use my iPhone less. According to you, Apple is missing the target completely.

Idiot.
  • Flagged
0 Votes
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One last nail in your coffin
toddybottom 20th Sep
"And all they really want to do (with their cool expensive phone) is get in and get out, quickly."

Sometimes I want to do just that. Are you saying that you always want to take 30 minutes to check your email? That could be arranged. In fact, we could make it so that it will always take 24 hours for you to check your email. Then you could use OS X 24 hours a day.

Just because you never want to quickly check the status of something because you actually like being inefficient doesn't mean that the rest of us don't appreciate it when companies allow us to use our time more efficiently.

Apple is doing great things with iOS 5 because it will allow me to get in and get out, quickly when that is what I want to do. Right now, I don't have that option with iOS 4.
  • Flagged
@toddybottom

It's a weak campaign. Instead of insults (how childish) maybe you should admit that it's weak to base your entire marketing campaign on imaginary unsatisfied smart phone customers. I listed the satisfaction report to show how much MS is off target with this campaign. They've been running this campaign since the very start and they've actually lost market share since then, not gain. What does that say? The marketing is not helping. It's not working. Off base. Disconnect. Try something different.

I've played with WP7 and I like how smooth the UI is (iOS smooth). I like the subtle UI elements that enhances the experience, like when you flip the phone the on-screen buttons and letters flip also. As a designer myself I could appreciate many good things about WP7. Some I could do without like the whole off-centering of the start screen for instance. But certainly better than Android imo. The music/media player also nice. But their marketing campaign stinks! Consumers are saying it's not that big of an issue the way things are done now on iOS and Android. And like you've mentioned iOS 5 will be implementing some of the same features on the lock-screen in a few weeks. So why even switch?
@toddybottom OMG, even when spelled out you can't grasp the complete obvious. No wonder you have to resort to insults to cover up for incompetence.
@toddybottom
So getting work done in less amount of time is now an MS innovation? And if you do that then you are copying MS?

Gotta love MS fanboys. Especially when they pretend like they use Apple products.
0 Votes
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pure BS!
The Linux Geek 20th Sep
windoze mobile is as dead as death.
Even the most ardent fanboys don't believe it.
@The Linux Geek

Nobody is talking about Windows Mobile. They are talking about Windows Phone. Two completely different things!
@wp7mango

Just as dead. Stagnant or slipping sales does not make a good platform.
  • Flagged
@itguy10
Really - you own a WP7 phone? I'm sure you can make that comment since you actually own a phone or is the IT short for IdioT?
@The Linux Geek - For a change, you are correct... Windows Mobile is dead... Windows Phone 7 is where it's at now!
@tdogg219

WP7 = Dead too. Look at marketshare, it's around 1%. And stagnant or falling, depending on who does the stats.
  • Flagged
@itguy10

1% in a far shorter time than another famous 1%. Maybe it's "the year of the windows phone".
@The Linux Geek
Troll toomuch??
@owlnet Nope - it was his smoke break at McDonalds!
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@The Linux Geek There IS no such product called "windoze mobile"... if you are referring to Windows Mobile that has been discontinued for quite some time. WP7/7.5 Mango is the new Microsoft smartphone operating system. So in a way yeah WM is dead and WP7 took it's place.

I'm surprised there is no "axis of evil" claim in here about how Microsoft, Apple, Oracle, Facebook, and every other company is out to get Google and open source.
@The Linux Geek Thank you! your typical bone-head comments just won me today's lunch-time bet. Thank you!
It seems like ZD Net is continuing to try to whip up excitement over Windows Phone 7, but the market isn't yet there. Maybe Mango and the forthcoming Nokia phones will help it, but so far, it's a dud in the real world. All of these market predictions seem like vaporware.
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Because they don't advertise it?
William Farrell 20th Sep
@gjhuff@...
everytime I turn on the TV I see Verzion pushing the heck out of Droid to keep sales going, and Apple advertises every 5 commercial or something.

Yet Each day I see more and more WP7 devices.

It's only "dead" as long as MS keeps it a secret, but then I think that's an Android fanboy's greatest fear - That MS starts telling the world about it.

I wonder if the fanboys lose sleep over it? wink
@William Farrell
grin
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@William Farrell I have yet to see a WP7 device out in the wild - I see a lot of iPhones and Android devices. I'm considering dumping my work BB for something different and less frustrating and since I already own an iPhone I don't see the point of buying another one for work. I've been giving some serious thought to a WP7 Mango device - I may give the UI another chance.
@William Farrell
I don't know anyone in my world with a WP 7 phone. I'm still using my Touch Pro 2 WM 6.5 phone because I don't like the Arrive/WP 7. But our anecdotal experiences are limited - so far Windows phones (WM6.5 and WP7) continue to lose market share. Those are the numbers that should worry MS into figuring out why it hasn't been more successful.
@William Farrell version and its horrible with the metro ui. Yeah it has a so called classic version but no usable start button it just opens metro again. Unless the metro panel idea is dropped and a real desktop or something more like how android has pages for ease of use then microsoft is in a world of hurt. i use almost nothing but windows and love it but using the windows 8 and metro ui on wp7 I just dont see them surviving.
Its even more due to the metro panel idea is really bad and makes it a phone os you just dont want to use. I have the windows 8 developers
0 Votes
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Just more of the same....
Bunits1019 20th Sep
hype and nothing actually being done to make this happen. And I say this as a WP7 owner who is extremely disappointed how laid back MS seems to be about this whole thing
I have Mango, I love it. I really don't give a squat if it sells more or less than Android or iPhone so long as they keep on developing it to my satisfaction. Whether it's 1st 2nd or 100th in popular smartphone sales really don't matter to me at all
@Zarniw00p

Well, as a WP7 user, I care. I mean, I don't want to be stuck with a phone for the next two years that's not going anywhere and won't be supported
@Bunits1019 I agree with Zarniw00p in regard to who cares about market share. I don't have to own #1 or #2 to feel good about myself but like you said it's got to sell enough to have a future. It's got to sell enough to make OEMs want to continue producing hardware and developers to put out apps.
I have an iPhone 3. quite fancying to change it but:
1 - I do not want a battery that last 5 min. it should last 3 days
2 - I do not really want to lose all my apps and music and videos purchased on iTunes
3 - I do not want to pay 500 Sterling

the truth is I am thinking to go back to my old nokia... battery was great, phone was great, texting was fine, web was poor but usable. do I really need more???

I would buy a 200 replacement now if the battery of all those smartphones were not so damn poor! this is what matters to me: the battery life!!!
@Drakkhen
I use the htc evo 4G with an extended battery and I plug it in at bed and use it from7 am til 11 pm each day with web browsing, music, video streaming, gps, and wif or 4g and I have battery juice to spare at night. Im rooted and romed and I got 2 new extended batteries and doors with lifetime warranty for $8 on ebay shipped.Phone was a week old demo i got for $125 so i get all you asked for plus it is lot more usabel then an iphone and doesnt have that dorky rich kid yuppie stigma an iphone gives you lol
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Drive a truck through the headline
Robert Hahn 20th Sep
There's quite a bit of daylight between "Microsoft could certainly improve its standing and chip away at Android???s dominant market position" and "Windows Phone 7 could pose a threat to Android".
Android is being pushed by the handset makers as well as the carriers. iOS is being pushed continually by Apple and the carriers. Only MS ran any commercials or print that I saw pushing windows phone. When was the last Windows phone introduced by any carrier. I think At&T got a new one some months ago. As for the other Windows phones...how long has it been...6 months to a year since they were introduced? Android phone manufacturers have phones out every month or at least news of phones that are coming. Nothing about Windows. You can't build market share this way. MS has to realize that in the consumer space you have to keep your product front and center continually or its forgotten.
@johnnylumber
Have to agree... like what I see in Mango.
Took a look a couple months back - walked into an ATT store.
Saw the HD7S... asked the salesperson when this can out - months ago. I was like WOW - never knew they had this and I am an ATT customer.

MS needs to go and market their OS - pull the vendors into it.
btw... I have an i4 and Nexus - contract up now..... on both. happy
Appple all the way baby! every other phone is a copy cat!
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jmidvxt 61 jpm
cmakrekdw87-24379046623921217003298695612322 25th Nov
vaykmy,ctbqsrju25, zxoqv.

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