Windows Phone Marketshare grows in almost every country

[freedquaker]

disolitude said:

freedquaker said:

 

I disagree with most of your post but unlike most people here I want to have a civil discussion...

The thing is Microsoft isn't living in dream land when it comes to Windows Phone marketshare. They understand the market and know they won't demand massive marketshare numbers in the near future. Infact, they predict to have 15% marketshare by 2018. That is certanly doable.

http://www.zdnet.com/microsoft-gets-less-than-10-per-windows-phone-unit-7000020153/

 

MS also no longer wants to sell the WP OS to anyone. They instead want to sell the ecosystem and services and it is becoming increasingly difficult to do this, even for Google with 80% marketshare. Samsung is cooking their own Android as is HTC and rest. iOS has the most sound ecosystem and Apple revenues show this hand over fist. Google has yet to prove that they can make money using Android and its "everything is free" model without advertising revenue.

Finally, one of the reasons for Nokia/MS merger is increased profitability on each device sold. As it stands, MS has to give Nokia a cash incentive and sells the OS license at a discounted rate. They make less than $10 per device sold.  After the merger they are expecting $40 per device.

http://www.zdnet.com/microsoft-gets-less-than-10-per-windows-phone-unit-7000020153/

"Redmond also believes that taking over Nokia's devices and services unit will provide "entry in to key growth markets."

Microsoft says that the current partnership between itself and Nokia means that for every Windows Phone sold, the gross profit margin is under $10 per unit based on royalty payments. Through the Nokia unit acquisition, Microsoft believes this will increase to $40 -- potentially making the risky deal a profitable force in the future. "

I wonder what exactly you disagree with?

It's an undeniable fact that Windows Phone Share has increased; however,

* Most of those increases do not happen due to "Windows" but rather "Nokia". People are simply going for a better alternative than Android if they cannot afford (an unsubsidized) Iphone or simply prefer Nokia.

=> This is a well known fact. Especially in Europe, where Nokia has always been popular, and this is where we see the surge in Nokia (winphone, ahem) sales. I have not seen one single person who bought a Nokia because of Windows Phone in my trips to Europe. Of course, there are, but absolutely a minority. Most people I know didn't even know the existence of a Windows Phone OS, but bought the phone simply they couldn't afford an iphone, or didn't want to get an Android.

* Nokia is still FAR from recouping its lost market share, and those gains are small in comparison.

=> This is not even up for debate, but obvious.

* A good deal of those gains are about collecting the leftovers after the dismal ends of Blackberry and the former Nokia.

=> Also obvious, because Android is increasing its market share at 80% and Iphones are still selling more though with a lower share because of rapidly expanding market. But yes, only in Europe, iphone lost some ground to NOKIA due to Lumias, and the highly expensive Iphones.

* Android, the biggest competition, is still gaining ground, with shares up to 80% globally, also increasing pretty much everywhere.

=> Nothing to debate about, simple fact.

* There is not much room left to grow other than gaining ground at the cost of Apple & Google, which will get harder and harder.

=> Also true, because Android is getting even stronger, and Apple seems untouchable by MS in 3 largest markets US, China, Japan.

* Windows Phone is a distant third in the largest and most significant markets. 4.8% in US, virtually non-existing in China and Japan.

=> Fact.

* MS wants to be a global player by selling its OS to everyone, but so far, 3/4 of its sales come from Nokia, which MS owns! This defeats the purpose, as its hardly profitable from MS point of view.

=> MS always sold its OS to everyone who wants, and still does it. There is not one single category that MS doesn't sell or want to sell its OS. They did it with Windows RT, and still do it with Win Phone. Claiming otherwise is all about being completely blind to Microsoft History and Policies. They bought Nokia, because they wanted to create "enough momentum" for the emergence of a strong ecosystem and market share, which will then trigger other manufacturers to show bigger interest in Windows Phone.

 

MS is fundamentally wrong on their policy. Because noone will wholeheartedly ever pick the windows Phone OS. Not because it is a bad OS, but because of a variety of other reasons. MS charges for it, to begin with. Windows is the only non-free OS on Earth in the consumer space, which adds up to the cost. Without the well established ecosystem and customer base, as well as more appealing feature-set, it is obliged to trail way behind the android. And the reason it may catch up to Apple is because Apple may let it, just to preserve high profit margins.