Microsoft CEO Satya Nadella recently revealed that the company did not focus on smartphone development and eventually gave up on it. Nadella saw a drop in Windows Phone sales and the Nokia phone business when he started with Microsoft. While Microsoft is known for its computer products, rivals like Apple, Samsung, Lenovo, Asus, and Google have made a name for themselves in the smartphone industry.
In an interview with Business Insider, Nadella discussed Microsoft’s exit from the Windows Phone business. He mentioned that there could have been different ways to refocus their attention on smartphones and PCs, including tablets that were present at the time. However, it is not possible now as Windows phones failed later on.
Nadella expressed regret over giving up on Windows Phone and Nokia mobile business, stating that there were still many possibilities before exploring Android with Surface phones. In 2014, Microsoft wrote off $7.6 billion in its acquisition of Nokia, which has been seen as a mistake.
Microsoft had notable smartphones centered on the Windows mobile operating system, such as the Lumia smartphones. However, the company dropped the Windows smartphone business in 2014 and sold it to Finnish startup HMD Global. Microsoft then introduced Surface smartphones with the Android operating system, with the most recent update being Android 11 for the Surface Duo 2.
There is currently no information about future developments in Microsoft’s smartphone lineup. However, many believe that the future of Surface phones is not over yet. Nadella admitted in the interview that the previous shutdown of the Windows and Nokia mobile phone business could have been handled better.
Overall, Microsoft’s focus has been primarily on its computer products, and it has not been able to make a significant impact in the smartphone industry like its rivals.

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