Friday, August 8, 2008

Zune Marketplace on Nokia Phones Can Be Potent

Two major mobile news of interest to mobile warriors is going to be the supposedly deterioration of Android support and delay of the Android phone into 2009 and Zune Scene reporting Microsoft teaming up with Nokia to create a powerful alternative to Apple and iTunes.  I think the latter issue will have a bigger impact than what Google and HTC is doing. 

Last week, Microsoft said it fell short of Windows Mobile sales and the rest of the industry probably celebrated.  But Onxo believes that while all eyes are on Apple, RIM, and Google, we believe it's Microsoft we need to be watching.  (Read to find out why.)

By teaming up, MS and Nokia will have the potential to create a media device, a challenge to Apple that it has never seen before.  No timeline was provided as to when fruits of this alliance will come to bare (if Zune Scene source is correct, this partnership has moved from the boardroom to the labs) but with all the attention on Apple's fall production launches, it's Redmond that we should be watching.

If such a product is launched, it would certainly alter the mobile landscape overnight.  With the combined research and marketing prowess of Microsoft and Nokia, we are likely to see a line of Zune-based phones, not just one device.  Tens of millions of Zune-powered Nokia phones would be on the market shortly.

Of course, this isn't without its risks for both companies.  If this "zNokia phone" does not do well, it will only give more credibility to others like the Apple and others in the smartphone arena.

Certainly, the potential outweighs the risk for Microsoft who stands to gain the most in this arrangement.  Imagine half a billion phones on the market with access to Zune Marketplace.  Well, Ballmer certainly has.  Other potential winners from this partnership if Zune Marketplace is ultimately successful in prying the iron-grip iTunes has on media downloads are the labels and studios.  Any crack in Apple's armor may mean the media giants gaining an upper hand in future negotiations. 

Then the question next would be how will Zune support help Windows Mobile. 

Related Articles:
  • Microsoft Misses Windows Mobile Sales Goal (18 million sold)
  • Zune Surprise?  Perfect time for Microsoft to surprise everyone when all eyes are on the iPhone.
  • Zune scene has mole who said...
  • Electronista offers additional details on Zune tie-in with Nokia
  • Engadget Mobile with its experience and understanding of the temperament of Nokia and Micrsoft doesn't think this is going to pan out.
  • Nuviphone delayed until 2009.
  • Android 80% done.  We may not see an Android phone in 2008.  The whole mobile arena is waiting for official words from HTC and Google.
  • Barron's blog reveals trouble for Android.  We don't trust analysts but the details, the details...

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