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Microsoft has its own tablet, so offering a smartphone certainly isn't hard to believe.
How will Windows Phone partners feel about a Microsoft direct smartphone?

A rumor has surfaced that claims Microsoft is currently working with component suppliers in Asia to test out its own smartphone design. Earlier in the year, this rumor might have been met with significant criticism and disbelief. However, with Microsoft already offering its own tablet called the Surface and having plainly stated that it intends to do more first-party hardware, the latest report seems more plausible.

Windows Phone hasn’t traditionally been a very popular operating system for smartphones. It wouldn't be a stretch to imagine that Microsoft blames some of the poor showing of its smartphone operating system on poor hardware design. If Microsoft can design an attractive and high-performing smartphone using its own operating system, consumers might be more inclined to buy a Windows Phone 8 device.

The Wall Street Journal says that officials from some of Microsoft's parts suppliers have stated that the company is testing a smartphone design, but Microsoft isn't sure whether the product will go into mass production. The sources are declining to be named, naturally.

One source claims that the screen of the Microsoft smartphone being tested right now measures between four and five inches. A screen of that size would put it right in the mix with the iPhone 5 and the Samsung Galaxy S III.

"We're quite happy about this holiday [season] going to market hard with Nokia, Samsung and HTC," said Mr. Ballmer, referring to companies making smartphones powered by Microsoft software. "Whether we had a plan to do something different or we didn't have a plan I wouldn't comment in any dimension."

Source: Wall Street Journal

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RE: Same way they feel about Google's Nexus phones
By Camikazi on 11/2/2012 10:44:32 AM , Rating: 2
Except for Acer who will complain and moan about it :P

By quiksilvr on 11/2/2012 10:54:28 AM , Rating: 2
To be fair, it was complete BS that Windows stepped in and took off Thunderbolt from Acer's tablet.

By Samus on 11/2/2012 11:08:18 AM , Rating: 2
Yeah I read that on Engadget and couldn't help but think that's really holding back creativity from their new ecosystem of tablets.

RE: Same way they feel about Google's Nexus phones
By Mitch101 on 11/2/2012 10:58:40 AM , Rating: 2
There is a rumor this is a SKYPE Phone not a carrier phone.

Imagine a iPod Touch with Skype but laid out like a phone. Hold to ear if you like or use as a video chat holding it outward.

RE: Same way they feel about Google's Nexus phones
By Motoman on 11/2/2012 1:21:22 PM , Rating: 2
That would be...moronic. What good is a phone that doesn't work if you're not connected to a wireless LAN?

With no cell carrier and no cellular connection, it's not a phone - it's a little tablet.

By zephyrprime on 11/2/2012 7:04:02 PM , Rating: 2
It's intended purpose is probably to tell the OEMs what to do and to shame them into not being so cheap and shoddy with their designs. It's probably not intended to be a successful mass market device and will probably only be sold online through limited channels.

By retrospooty on 11/2/2012 3:58:07 PM , Rating: 2
"Except for Acer who will complain and moan about it :P"

LOL, Acer will make an equally spec'd phone of lower quality and higher price, then it wont sell, because of the known quality lapses and high price and THEN they will complain and moan about it.

By spread on 11/3/2012 6:38:35 PM , Rating: 2
And it's going to have the worst screen in the world and the same battery life as a boiled potato.

“So far we have not seen a single Android device that does not infringe on our patents." -- Microsoft General Counsel Brad Smith

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