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Microsoft's biggest 'Mango' challenge: Creating excitement without killing demand

By | May 23, 2011, 12:10pm PDT

Summary: On the eve of the VIP Preview for Windows Phone, I’m wondering what Microsoft can do to stoke the market for Mango without completely killing off demand for existing WP7 devices.

Microsoft CEO Steve Ballmer is beating the Windows Phone “Mango” drum a day ahead of tomorrow’s VIP Preview event, promising the next Windows Phones will sport more than 500 new features.

While it’s true generating phone demand is tied to a combination of lots of new features plus lots of new apps, my readers seem to have a somewhat different set of priorities. I’ve been getting lots of questions over the past couple of weeks about 1) what kinds of enterprise-focused features Microsoft plans to bring to Mango phones and 2) what Microsoft is going to do to stoke the market for new phones running the next version of its mobile OS, without completely killing off demand for existing WP7 phones.

Both of these are good questions, and I’m wondering if the May 24 Windows Phone event will provide answers on either front (given the rumors that the VIP Preview event is going to be 99 percent about the consumer features coming to Windows Phone OS 7.5, a k a Mango).

Just today, I received this note from a reader in my inbox (with company/product names eliminated to preserve the reader’s privacy):

“I’m sure other businesses are in the same situation as I’m in today. (My company) has a mobile ordering application developed in VB.net in Visual Studio 2005. It is currently running in WM (Windows Mobile) 6.5. Is there any possibility of running this in WP7?”

The answer, as we learned last year from Microsoft, is that there’s no backwards compatibility between WM 6.5 and WP7. Some customers with custom line-of-business applications are redoing their apps for WP7. But without encryption, VPN support and private-application loading, a number of business users are not willing and able to move to WP7 and are stuck on the dead-end WM 6.x if they want a Microsoft-provided phone platform. (As Gartner Group noted last week, WM 6.x phones were still outselling WP7 phones worldwide in the first quarter of 2011 — an estimate Microsoft is neither confirming nor denying.)

Microsoft officials did unveil last week at the TechEd 2011 conference a handful of business-focused features that are slated to be part of the Mango phone update, which is expected to be available on new and existing phones later this year. Among those features are alphanumeric password protection, support for hidden WiFi networks, and better SkyDrive support for Office Web Apps. Microsoft is expected to add private and beta marketplace support for Mango phones, but some of my readers said the few details the Softies have shared about the private marketplace are leaving them wondering whether their organizations will be satisfied with it.

Meanwhile, more than a few of my colleagues have wondered aloud what will happen to the already not-so-strong demand for Windows Phones if Microsoft and its partners don’t have some kind of upgrade plans/assurances in place once the full set of Mango features is made public. I know I’m not the only Verizon customer who has been waiting (and waiting and waiting) for Verizon to unveil its first Windows Phone — something that Verizon last week said would be happening on May 26 — but who know is rethinking whether I should wait to see what’s coming preloaded with Mango later this year.

Why buy an adequate but unexciting WP7 handset when I might be able to pick up a more-up-to-date one running Mango in five or six months? Phones aren’t like PCs, which are on a longer development cycle. There’s no smartphone “Upgrade Guarantee” program like the one that Microsoft and its partners offer with Windows and Office — allowing users who buy older versions of Windows PCs or Office preloaded on their PCs to get upgrade coupons good for a new version of the software if they do so a few months before new versions of the operating system and apps are released. Yes, you will be able to download Mango for your existing Windows Phone. But your existing Windows Phone won’t include a front-facing camera or a gyroscope or a built-in NFC chip….

While it’s true that other smartphone vendors are in the same boat as Microsoft, when it comes to the risk of pre-announcing new features too early, Apple and the Android phone makers have more of a headstart and more momentum than Microsoft does in this space. Apple’s user base defies the laws of gravity (and justifiable demand patterns) and will buy new versions of products just because they’re out. And there are so many different Android phones on the market from different vendors (compared with Microsoft’s handful of Windows Phone partners) that the announcement/delivery cycle seems to be a constantly rolling one that is unlikely to be stymied by the unveiling of a new Android

What do you think Microsoft can and should do at this point to generate excitement about Mango phones without causing demand for WP7 devices to completely fall off a cliff? And guesses as to what the Softies will do tomorrow at the VIP Preview (besides show off some of the promised 500 features that we haven’t seen leaked yet)?

I’ll be at the Windows Phone VIP preview in New York City tomorrow covering the festivities and reporting on what is and isn’t unveiled. Stay tuned….

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Topics

Mary Jo has covered the tech industry for more than 25 years for a variety of publications and Web sites, and is a frequent guest on radio, TV and podcasts, speaking about all things Microsoft-related. She is the author of Microsoft 2.0: How Microsoft plans to stay relevant in the post-Gates era (John Wiley & Sons, 2008).

Disclosure

Mary-Jo Foley

Freelance journalist/blogger Mary Jo Foley has nothing to disclose. WYSIWYG (what you see is what you get). I do not own Microsoft stock or stock in any of its partners or competitors. I have no business ventures that are sponsored by/funded by Microsoft or any of its partners or competitors.

Biography

Mary-Jo Foley

Mary Jo Foley has covered the tech industry for 25 years for a variety of publications, including ZDNet, eWeek and Baseline. She has kept close tabs on Microsoft strategy, products and technologies for the past 10 years. In the late 1990s, she penned the award-winning "At The Evil Empire" column for ZDNet, and more recently the Microsoft Watch blog for Ziff Davis.

Got a tip? Send her an email with your rants, rumors, tips and tattles. Confidentiality guaranteed.

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RE: Microsoft's biggest 'Mango' challenge: Creating excitement without killing demand
makrejktt1501-24353656047939533060703815469009 10th Nov
klsibz,good post!
Ballmer needs to keep his mouth shut until the official announcement.
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Don't worry...
cosuna 23rd May 2011
...you can't kill something that's not alive.

Windows Phone 7 sales are mainly enthusiasts who either are Microsoft fanboys or hate Apple and/or Google.

That's the reason the WP7 has gone haywire. There's no stopping something that isn't moving.

On the other hand, if Mango delivers it will basically kill the Windows Phone 7 brand, just as Windows 7 killed the Windows Vista. It will show that early adopters were fool and that the product was delivered half-baked.

Remember, this is not the iPhone 1 vs the iPhone 3G. Apple showed a promising device that was ready to scale, that is, part of a grand plan that slowly unfolded.

Microsoft, on the other hand, tried it's best to deliver a "grandeur" OS, which people soon discovered that had too many shortcomings without no mayor pathway out.

That's what has killed the device. With Apple, you knew further upgrades "will get it".

With Microsoft there's no way of knowing if Mango devices will even look like WP7 or not.
@cosuna Every Windows Phone 7 is getting upgraded to Mango, so why would early adopters be fools? My best friend just got a Samsung Focus on AT&T and he is no fool. The phone is only a penny at Amazon. He actually told me that random people at his law firm have been complimenting him on his phone. So when he gets the Mango update later this year he is going to be very happy that he got the Focus.

I really wish they had put the Focus out on other carriers cause I would have a Windows Phone right now if they did.
@cosuna MS is committed to upgrading their phones unlike that fragmented crap that is Android!! I am grabbing a Trophy on the 26th!! Woohooo!!!!!!
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Why worry?
Forrestall 23rd May 2011
@cosuna

I don't think anyone is worried. Windows Phone is very good in what it does and sales are fine at this stage. The update strategy ensures Mango on all devices, from all manufacturers, on all carriers, worldwide.
@cosuna I'm none of that. Well... I have been becoming more anti google lately. My WP7 lust came when my mobile guy dropped a Focus on my desk to use for a week. I never gave it back. Truly a new thinking in phones and I am VERY excited about Mango. I'm not a microsoft guy at all, but I have started following these Microsoft blogs just to keep up on Windows Phone.
@cool8man, @jatbains, @Forrestall, et al:

Guys, don't get me wrong. Am not against WP7 per se. I think they did a very fine job for something that took only 18 months.

It's just too late to make any dent on the market. I'm used to calling WP7 the Amiga/NeXT/BeOS of the mobile market. Those too were fine OS that lacked DOS compatibility, so were dead-on-arrival.

As for Microsoft "commitment" to upgrade am not completely sure that is doable. Samsung Omnias are being bricked all the time due to the way MS and Samsung decided to go on the file system. Mango being a serious new release might get into more trouble. (My bet is Mango is Windows Embedded Compact 7.0 with a new Silverlight for Windows Embedded runtime that supports multiple sandboxed SL for WP instances)
@cosuna

Fact:
every wp7 device today will run mango.

Fact:
your thesis is wrong. Apple didn't prove any device more ready to scale than WP7. IN fact it didn't scale whatsoever. IOS4 can't run at any acceptable speed unless you have a 3GS. By your thesis, the original iphone was crippled from day one. you're just giving a pass to apple because of fanboysm.
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when it comes to smartphones.

With the smartphones themselves becoming virtual giveaways, what people are really looking for is a plan which will fit their budgets, and an OS which will serve them well. WP7 already does most of that, and with Mango, it may become superior to anything from the competition.

Then, there's the failure of "lock-in" with smartphones, where people are free to choose again after a 1 or 2 year service plan. Apps may lock some people in to some makes, but, most people don't go berserk purchasing so many apps that they can't make the switch.

The only thing lacking for Microsoft, after Mango, is the marketing to match Android and iPhones. But, eventually, Microsoft will get the whole system working correctly, including the phones, the OS, the marketing and sales, and the followups.
@mrlinux

Microsoft needs to have a constant release of new phones every month. Unloading a dozen phones on the market simultaneously is a recipe for disaster. There has to be a staggered release schedule so that each phone has a moment to shine.

People say that demand is not strong, but relative to where Android was half a year after launch, Microsoft is doing great. They've sold two to three times as many phones as Android did, they have much stronger manufacturer/developer/carrier support than Android had, and the Windows app store is growing almost 3 times faster than Android did in it's first year. The question is whether they can continue to beat what Android did in it's first few years. Nokia is certainly a much bigger get than Motorola (at least outside of the U.S.) so they seem to be keeping ahead of where Android was.

Of course the big test will be the 2nd year which is where Android really took off. Can 2012 be for Windows Phone what 2010 was for Android?
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Windows FAIL 7
itguy08 24th May 2011
@cool8man
"and the Windows app store is growing almost 3 times faster than Android did in it's first year. "

Amazing what you can do when you PAY DEVELOPERS TO PORT TO YOUR PLATFORM. I'd port my app too if someone would pay for it.

Will be interesting to see this one evolve. Android activates more phones in what, a week than MS has sold in 6 months.....
@cool8man Microsoft is letting the same people that develope the operating system make aps and sell them personally. So if you are a developer and go to someone in Microsoft for help with your proprietary app they may very well be moonlighting a competative app.
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MS is returning to what they know
Richard Flude 23rd May 2011
Historically MS has talked up their next versions; is going really good and fix all the problems. They've used this to quell user migration to other platforms (you'd think they'd learn).

Clearly their recent "quiet" strategy has been dumped, with both windows 8 and Mango leaks. I wonder what is coming up for all these MS leaks? (hint: WWDC June 6-10)
@Richard Flude

dude you must be new to the world. windows leaks have been always around since the XP days. it has nothing to do with apple's conference lol.
@Richard Flude

What? You seriously cannot be this clueless. Can You?
suggesting Mr. Ballmer keep his mouth shut, after all he is the king of Redmond isn't he? happy
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this is why apple succeeds... kind of.
sucitivel 23rd May 2011
it's beyond unacceptable really, as a maker of a mobile operating system you don't offer any compatibility between releases.

it really goes a step beyond that. in the 90's microsoft was so overwhelmingly successful because it catered to developers, at the time even small ones it seemed. today it seems like there's such a fundemental lack of cohesive developer support/engagement... not that they aren't trying.

all you need do is look around at where the developers hang their hats, and there you have a successful platform, hence apples success (and also hence their earlier failures, imo apple had a poor rapport with developers all throughout the 90's)
@sucitivel - ermmm ... don't jump the gun. WinPhone 7.1 runs fine on existing hardware and Microsoft have already stated that Mango (7.5?) will run fine on existing handsets. Hoping that they'll make this statement again tomorrow to allay any remaining FUD that Mango will require new hardware.

Regarding your comment on developers, WinPhone is enjoying a faster and larger volume of app publication than iOS or Android did in their first few months. There are already in excess of 18,000 apps available for Windows Phone : http://wp7applist.com/en-US/stats/
@bitcrazed yea you are right sort of.

but they still have a LONG way to go to recapture their glory days. I don't know how much credence I give to the statistic about faster and larger app publication-- you have to be considerate of the fact that the mobile app sphere did not even exist when apple came to the game, so you can't pit those number against each other in a 1:1 way anyhow because there's simply more people making mobile apps today.
@bitcrazed I agree I am jumpin on the developer wagon!! The enthusiasm will only grow with Silverlight on Win8 tablets!!
@sucitivel - I agree that you can't really compare iOS to WinPhone adoption rates because Apple really did introduce a new way of delivering apps to phones back when they first introduced the marketplace. However, I disagree that one cannot compare Android to WinPhone since the notion of a mobile app marketplace was well established by the time 'droid came along.

Remember, WinPhon has only been in the market for around 7 months and is coming from a long way behind. To have as many apps as it already has sends a VERY clear message that many find WinPhone very compelling. Of course, as more people roll off existing contracts and as WinPhone's capabilities and exposure increases, coupled with the Nokia effect, WinPhone will, I believe, see a pretty large market share increase in the coming 18-24 months.
@sucitivel Mango update is for existing Windows Phones. What are you talking about?

Developers are hanging their hats with Windows Phone, look at how the marketplace is doing. It's growing faster a lot faster than Android did in it's first year.

http://wp7applist.com/stats/

To me this is the biggest metric that matters. Coming from webOS where the operating system was absolutely brilliant, but the app store was abysmal I can tell you from experience how important developer support is for a platform. The main reason I changed my outlook on Windows Phone is because of how much developers have embraced the platform. The Windows Phone app store growth can't be ignored. Based upon developer support I'd say Windows is clearly becoming a stronger platform than BlackBerry.
@cool8man again, i said that bitcrazed was half right in my initial reply. blackberry is on it's way out the door, so that's great if you want microsoft to follow in their footsteps.

how about the fact that i can write a mobile app using something like titanium developer, and use javascript, a language that just about every developer on the planet has some experience with, and then deploy native application builds for both android and iphone from the same codebase?

and "look at how the marketplace is doing" makes me glad you aren't my portfolio manager. like i said, you're comparing first year adoption rates for a service that's already 3 years late to the game. if you've had 3 years to watch your competitors, you damn well better blow people out of orbit when you release it, has that happened? i'd definitely say not.
@sucitivel

You obviously aren't a developer. MS has the best and most powerful development environment available at the moment, the rest are house of cards held together by gaffer tape and string.

You also don't seem to realise that all the existing WP7 phones will update to Mango.
@tonymcs@... you just made my eye twitch when you said "obviously aren't a developer" i've been developing for 15 years.

nothing you said has any credibility if you think platforms are held together by gaffer tape and string, you are the one who is "obviously" not a programmer by ignoring the plethora of very well established open source frameworks that are too numerous to count. i know you got a couple years of experience under your belt in some .NET stuff boy, but that doesn't make you a veteran.

by the way, i admitted my error about the upgrade part right away, so learn to read as well.
@sucitivel

lol and who said it was incompatible? apple and android dealt with hardware sensor additions in the same way. older phones just won't be able to use these narrow specific cases, but the OS will still run for the other 99.9999% of features.
@sucitivel Windows Phone 7.5 (Mango) will run fine on all existing devices out there. Even the minimum hardware specification for WP 7.5 is less than WP7. e.g. 1 GHz for WP7 vs 800 MHz for WP7.5
Microsoft doesn't have to worry about compatibility because they've already stated all existing handset will be able to update their phones to Mango. This is not an Android situation, where people with existing phones will be stuck without future updates, despite any problems Microsoft has had with updates.
@JoeHTH I agree. This is what has been said about current WP7 devices.

I dont know why 6.5 was brought up in the article, as if they want to convert to the WP7 platform, they should learn to develop applications for it and port it over.

Mango brings many many many many developer requests to the WP7 platform, including sockets and multi tasking so they will basically be able to do whatever they need to do, maybe not the same exact way they did it before.

Only thing WP7 devices wont have that newer Mango devices will is the optional gyroscope, but original devices still have an accelerometer.
@x21x
It would be a mistake to risk porting 6.5 business apps to 7 when a) the jury's still out on its viability and b) most of their users already have (or want) an iPhone or Android variant.
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... the developer tools for mango. Since those are suppose to be released in May.
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I don't think win phone will ever go anywhere, regardless of how smooth the UI may be. Its still a square slab of plastic like all other phones. If it had come out when android did they may have had a chance. The right conditions to take flight were not there. Android and Apple are it.
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@willyampz
Good thing they decided to hang in there.

Same reason MS will hang in there and this will grow.
@willyampz Android is fragmented crap and Apple's a Dictatorship!!!!!!!!
@willyampz Just like MySpace was "it" before Facebook? happy
Microsoft doesn't need to worry about killing demand. They need to worry about creating buzz. The UI and OS are what WP has going for it. Not the hardware, yet. So they should be talking it up. WP users and prespective users will be glad to see how dedicated MS is to the platform. The feature list is long for this update and it is compatible with existing devices, so unless you need a gyroscope, buy now and your phone will get better in 6 months.
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RE: Verizon and Win 7.5 phones
kenosha77a 23rd May 2011
I was somewhat amused (but not in an unkind way) your statement ... "I know I?m not the only Verizon customer who has been waiting (and waiting and waiting) for Verizon to unveil its first Windows Phone".

I suspect you might appreciate now how consummers wishing for a Verizon iPhone must have felt these past five years. You have only waited a "few months" ... surely, you can wait a few more. (and I promise not to call you Shirley anymore.) Grin.
@kenosha7777 26th!! I am grabbing a Trophy !!!
Honestly, don't announce anything not needed for developers 4 months before launch of the product. Get the APIs out there and announce anything related to those, but only those.

About 2 weeks before product launch, announce the new features. At least that's how Apple does it.

Although I do understand for WP and Android, they need to work with OEMs so maybe they figure the stuff is going to leak anyways.
Why would this kill demand? Isn't the Mango update coming to all existing Windows Phones? The 2nd gen Snapdragons coming out later in the year only have a slightly better GPU. There's no reason not to buy a Windows Phone now if you want one.

Everyone is going to get the Mango update around the same time as everyone else. It took them about a month to roll out NoDo to everyone. It was nothing like the Gingerbread situation on Android. Over 6 months later and almost all Android phones are still using Froyo.
@cool8man Demand for WP7 phones is currently almost none existent. Even if we look at the numbers based on MS licensing (not actual sales), in over half a year, MS hasn't managed to sell 20% of what the competition actually sale in a month or less.

So a faulty update can potentially kill any demand and permanently tarnish the brand. It is bad enough that MS is copying Google by giving dumb names to incremental releases/bug-fixes .....
I'm not sure all of these Mango features will cause any excitement unless its for people who want Windows Phone but want the gaps in the OS filled first. And I do not believe that WP7 will never go anywhere. I do believe MSFT has made an error assuming that the Live Tiles are appealing to the masses. They need to offer more home screen designs. Big square tiles aren't for everyone. And yes they really need future phones to have better hardware. WP7 could be a big success but MSFT needs to realize that individuals buy phones and want their phones to reflect them. If they want to have a phone clone they buy an iPhone. They need to worry less about creating excitement and worry more about asking consumers if they they think of WP7 Would they buy? If no why not.
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RE: Creating excitement without killing demand
willyampz Updated - 23rd May 2011
@Adaminvegas67
Many people will not buy because of windows reputation as an insecure, crash prone ,father's brand. They cannot fix that. They should have not called it "windows".
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That's a stretch of the imagination
Will Pharaoh 23rd May 2011
@willyampz

Only the ABMer's claim that, IMO.
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As long as Ballmer's hands are in it...
ScorpioBlue 23rd May 2011
...many people will stay away.

They already are the internet de facto gatekeeper. No sense in making them the phone's, too.
@willyampz

My kids have grown up with Windows XP SP3, Vista, and 7. These OS's do not crash and are relatively secure. The Windows brand to them is strong. One of my daughter's friends even has a Zune and all the kids think it's cool. I think it's iPhone that is slowly becoming a father's brand (actually a mother's brand)... I see more 40-50 year-old moms with iPhones than I do teenagers by far. Yuck.
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LOL! ScorpioBlue, you are an amusing one
Will Pharaoh 24th May 2011
@ScorpioBlue

Android sales show that lots of people are staying away from the iPhone as long as Job's hands are in it, so you might be onto something.
All comments above have much credibility, however, I think where Microsoft is failing is telling their story. I don't see strong enough marketing efforts to the common consumer. Many, if not nearly 90% of those who's tried WP7, loves it. That's the story to tell! IF the functionality is different in a good way, it should be shouted from the mountain top. Remember when Driod came out and every other commercial was about the Android Phone? Or remember the iPhone commercial indicating anything you want, "there's an app for it"? Microsoft isn't telling the story loud enough.
@lenalfred... agreed 100%. Don't forget there is a sales & marketing dept for a reason. Somehow, marketing at MS can be questioned. WP7 I believe would have better sales #'s if it had an in depth S&M program with the sales people of its carriers. (proper training for selling the phone)
@lenalfred
I think you will see the marketing push when Mango is released. MS knows WP7 is half-baked, but Mango will be the release they have been waiting for. It will be huge. People are sick of iPhone (they made one in *white*! Wowwwww!!!!) and Droids are for nerds. MS has a big opportunity here.
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RE: Microsoft's biggest 'Mango' challenge: Creating excitement without killing demand
makrejktt1501-24353656047939533060703815469009 10th Nov
klsibz,good post!

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