Quote:
Originally Posted by
JeffDM 
If they think that the lack of success of WP8 is because of bad hardware, then they'll be trying to solve the wrong problem.
As yet, the OS hasn't proven to be a big draw, its UI is a derivative of the Zune HD, I don't think it really helped.
It seems to be mostly that their brand is damaged, and that's harder to fix than building your own hardware. I don't think competing against your own OEM customers is a good idea.
UI derivative didn't hurt either. How many people really knew of Zune HD, least tried it? For majority of potential buyers, UI is as fresh as it gets.
I don't think it is matter of brand damage either. Android built fine brand recognition with phones, and yet we see only nowadays that their tablets are starting to gain some ground. It is simple fact of being 3rd to enter market where one brand already dominates, while the other is catching up... and both have good products out there.
For MS, I think it will be matter of patience, willingness to keep investing without immediate return - something they showed to be capable of with Xbox - and keeping OEMs interested in every possible way - if need be, giving W8 licenses to OEMs for free. According to trustworthy sources (like Anandtech), experience with W8 is great on tablets, and performance is fine for the hardware it runs on. That is as much as you can hope for from first generation product. What they need now is market presence, and having as many different devices on shelves as they can get is, much as I see it, of absolute importance for them.
Re Surface phone. I don't think it's existence will hurt Nokia, or anyone else. First of, phone will be branded Microsoft phone (or Surface phone), but will be made by one of existing OEMs, and I'd say most likely Nokia themselves. In addition, it is likely to sell online and in MS shops, giving it very limited presence. I'm also expecting it to sell contract free, which also doesn't work against OEM who will mostly sell on contract, through networks.
I think it will mostly have psychological importance - basically standard setting, and mild warning to OEMs that, if they don't want to embrace platform seriously, MS can do that themselves. Number of OEMs - Samsung included, I think - would be happy to see WP8 fade away and leave market to iOS and Android. But if MS manages to persuade them WP8 is here to stay, some of them at least will find it better to get in the program than risk to lose some of their marketshare to MS's own efforts.
