Microsoft Corporation Has No Plans To Exit Mobile Business: Nadella

Apple MicrosoftSatya Nadella by n.bhupinder on 2014-07-10 23:09:07

Microsoft CEO Satya Nadella put an end to the rumors from that the company is planning to exit the mobile market in an interview with ZDNet. Many had feared that the tech firm would exit the mobile market after it restructured its mobile phone business and fired more than 7800 employees.

How Microsoft plans to make a comeback

When it fired the employees from the smartphone unit, which it purchased from Nokia for $7.2 billion, many thought an exit of Microsoft from the mobile market was probable. The resignation of Stephen Elop, former CEO of Nokia and current head of Microsoft devices group, and Jo Harlow, former Nokia Executive, gave more legs to the speculation.

“I view the mobile opportunity, even today in its broadest sense, and in the future, as being richer,” Nadella recently told ZDNet. “I want to be able to be present on every mobile endpoint. That’s a very explicit core goal.”

To make a mark in the smartphone market, the firm will have to attract as many developers as possible. For this, Nadella says that by working with Microsoft, developers will get an opportunity to develop Universal Windows apps that can run on a range of devices. Developers will only work if there are end users, and  Microsoft already has a massive number of desktop users, said Nadella. He argues Universal Windows apps, compatible with various devices, will be the game changer keeping developers engaged with the company.

Nadella on Microsoft’s biggest mistake

Nadella also acknowledged the biggest mistake that Microsoft made. “If anything, one big mistake we made in our past was to think of the PC as the hub for everything for all time to come,” Nadella said. But that has changed today, and now, a six-inch tall phone has gained importance. If we think it will be the future for the coming years, we will be repeating the same mistake, Nadella said.

With Windows 10, Microsoft is hoping to overcome the mistakes made with Windows 8. The new OS, which releases on July 29th, will run on a range of devices from a desktop to a low-cost smartphone. Nadella believes Microsoft’s next-gen OS will help it in pushing into the mobile market. The tech firm wants to make a greater impact in the smartphone market where Apple and Android are keeping it in third position with just a 2.5% market share.

Regarding Lumia-branded devices, Nadella noted that the company will manufacture premium Lumias this year, and there will be no interference from hardware partners in the firm’s mobile plans.

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About the Author

Aman Jain
Aman is MBA (Finance) with an experience on both Marketing and Finance side. He has worked as a Risk Analyst for AIR Worldwide, and is currently leading VeRa FinServ, a Financial Research firm. Favorite pastimes include watching science fiction movies, reviewing tech gadgets, playing PC games and cricket. - Email him at [email protected]

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