There's definitely stiff competition in the smartphone market today. Needless to say, Microsoft has a lot of barriers to overcome if it intends to regain market share with its smartphone OS. On Monday, Microsoft officially launched its Windows Phone 7 platform with nine handsets available through AT&T and T-Mobile. According to TheStreet, Microsoft sold 40,000 units on the day of the launch.
These sales figures are low in comparison to other platforms such as the iPhone, which sells 270,000 activations in a day and Android, which Google said last month was selling at a rate of 200,000 phones a day. Although Microsoft's sales figures are lower, they're not a terrible start. Also, it's important to point out that the iPhone and Android platforms are available worldwide. Microsoft's launch of Windows Phone 7 on Monday was limited to the U.S.
Another important factor to consider is the fact that Monday typically isn't the best day for a launch—Friday and Saturday are generally better launch days according to industry strategist Michael Cote with the Cote Collaborative. The number of devices could have also worked against Microsoft, particularly since there isn't a single standout among the pack of devices.
“It’s early in the game,” said Roger Entner, Nielsen telecom analyst. “Not every product surges right out of the starting blocks. The first Android phone was not a big seller at T-Mobile. We’ll see what happens with Black Friday sales. They’ll probably cut prices like everyone else does. It’s the nature of the beast.”
All in all, it's too early to say whether Microsoft will enjoy success with the Windows Phone 7 platform. Launch day wasn't overly impressive, but it wasn't a complete bomb, either.