LG Ditches Windows Phone
According to the Korea Herald, the South Korean handset maker revealed in its earnings call last week that it has no plans to release more Windows Phones, because they're not working out financially and "the total unit of Windows Phone sold in the global market is not a meaningful figure." Instead, LG is going to focus solely on Android devices.
LG, once the third-largest smartphone producer, has struggled to keep up with high-end smartphones, where it's consistently lost money and market share. The handset maker is also likely spooked by Microsoft Corp. (Nasdaq: MSFT)'s close ties with Nokia Corp. (NYSE: NOK). (See LG Founders in Booming Smartphone Market and LG's Got 99 Problems.)
Ditching Windows Phone may help LG, but it will undoubtedly hurt Microsoft. Sony Corp. (NYSE: SNE) is another handset maker that has remained disinterested in Windows Phone, betting solely on Android instead. And, while the operators are vital partners for Microsoft's mobile ambitions, the handset makers clearly are too. It will spell trouble if Microsoft fails to entice anyone outside of Nokia, alongside a small commitment from High Tech Computer Corp. (HTC) (Taiwan: 2498), to build for the OS.
The Korea Times also reports that Microsoft CEO Steve Ballmer could be paying LG's chief a visit in Seoul at the end of May, hoping to change its tune. Let's hope he has some convincing arguments ready, because his signature enthusiasm so far hasn't been enough to convince its partners to stick around.
— Sarah Reedy, Senior Reporter, Light Reading Mobile