Editorial: Microsoft is damaging their competitiveness by being “the most operator-friendly OS”

April 25, 2011 | By Surur

carriersposter At Mobile World Congress Microsoft position Windows Phone 7 as the most Operator-friendly operating system. The big problem with this of course is what carriers want (us paying them as much as possible for as little as possible) is diametrically apposed to what users want.

A sure sign of this kowtowing to carriers is the absence of an integrated Messenger IM client in Windows Phone 7, something which no doubt preserves carrier SMS revenue but which places Windows Phone 7 at a competitive disadvantage to Blackberry, which is enjoying a consumer resurgence due to the increasing popularity of BBM.

The Financial Times writes that BBM use has increased 6 times over just the last year, with 39 million users, and has helped Blackberry becomes the post popular smartphone in UK and caused its consumer users to outnumber business consumers.

“BBM has been a huge success story for RIM,” says Pete Cunningham, analyst at Canalys. “A couple of years ago, BlackBerrys were only used in the corporate space. Then they caught a wave of coolness.”

Of course the Messenger IM network is orders of magnitude larger than BBM, but does not have a real presence on Windows Phone 7, and is not a selling point for the OS.

Microsoft tends to be very successful at targeting their consumers, but unfortunately they view their customers as the carriers rather than the end users, which is a big mistake, because while they have managed to get 30 carriers to carry the phones in their stores, carriers still can not force end users to buy phones they do not want.

Our message to Microsoft – Instead of being carrier-friendly and turning users off, try being more end-user friendly and user demand will do the rest.

About Surur

Site Admin and Windows Phone enthusiast, he has been using Windows Mobile devices since before they were called PocketPC’s. He is currently sporting a HTC 7 Trophy.

Tagged carriers, editorial, windows phone 7

WP7Fan

I was really dissapointed with the Messenger by Moyima client.

Luckily, Mango will solve this problem – now just hope it doesn't get delayed.
Once we have that, the IM clients will start flooding in (MSN, Skype, you name it.)
drunkinected

Couldn't agree more. I for one simply took for granted that Live Messenger would be built in given that my former phone (iPhone4) had such a great (and official) client.
I do respect the coders at Miyowa but I don't want an outsourced app. I want this thing baked right into my phone, with MPOP, integrating with my People, pictures tiles and skydrive, and sucking my battery dry by running on the backgroud if I so choose.
Come on MS, I am on Live Messenger 24/7… at work in my laptop, at home in my desktop, laptop and xbox. Why not (properly) on my phone?
somedude

Horseshit article. MS is damaging blah blah blah and all you deliver is a bitch about Live Messenger? Give me a break! If you did some research, you'd come across interesting notes about Lync. Try again.

wethaman

I totally agree with your assessment. So according to this editorial, BB has increased because of BBM? I can't be anything else because other than emails and low grade apps, BB has nothing else to offer consumers over WP7. Also, WP7's whole user interface and experience caters to the end user and overall ease of use. BB can only wish to provide the user friendly experience MS has provided via WP7.
http://wmpoweruser.com wmpoweruser

Lync is a business application, which just goes to support the case. While Google does Google Voice for consumers, Microsoft goes Lync for business, leaving anyone not tied to a corporate server out in the cold.

The truth is that consumer demand is currently ruling the smartphone world, and Microsoft needs to cater to them, not the carriers.
chrislynchhp

Seriously?! You bag on Surur and call his article "horseshit?" I call your reponse childish, and unecessary. By your own word, if YOU did some research, you would know that Lync is FOR BUSINESS (the successor to Office Live Communication 2007), and not a solution for the consumer. Next time, slow down, read carefully. Then, re-read carefully, shutdown your browser, and power off your computer, as you offer nothing to this discussion.
http://www.facebook.com/nizzon Johan Nilsson

Lync?
How many companies are running Lync today?
Where is the Office Communicator app?
gadgetebz

You really have no idea !!! Surur is 100% correct BBM is the biggest selling point on Blackberry.. Most consumers in the 15 to 25 age group want a Blackberry not Iphone, Android or WP7 because of BBM..

Funny thing most of these people also have Live Messenger Accounts and if MS released an integrated IM Client to allow chat between WP7, XBOX, PC, MAC, IOS, Android, Blackberry, even Facebook etc…… It could be HUGE…. This is what they should have done for KIN…. But MS for some reason thought all the Kids were only texting…when IM is becoming more and more important!!

Obviously make sure WP7 has extra features to stand from other phones….

Onceawinmoguy

OMG Just exactly what percentage of devices have Messenger on them to create such a negative impact on their SMS revenue?

http://wmpoweruser.com wmpoweruser

From the FT article:
BBM :"It is used by more than 39m people worldwide with usage up six times over the past 12 months, making it a real threat to operators’ text-message revenues in some markets."

If you are a UK carrier with 20 million subscribers, and 5 million of them are not paying anything for SMS messaging (a major earner for carriers) you have a problem.

anon1

which is why you charge data rates.

simbadogg

what sense does it make to make a big push into something like windows live messenger, when to be honest, usage statistics, especially in the US, are not on their side.

Yes lots of people worldwide use WLM, but the idea to compare it to BBM is stupid. the reason that BBM was so damn successful is that it has a HUGE install base. Trying to get something like WLM to compete w/ BBM is just stupid. It'd make more sense to bring on a real messenger like Kik which is coming this fall. Why do you think Kik was experiencing problems with RIM (rim blocking their app from updating in real time)? It's the biggest threat to BBM that RIM has ever faced. It makes more sense to support something (Kik) that is completely platform agnostic (Android, WP7, iOS)

http://www.facebook.com/patrickvand Patrick Van

WLM has integration for FB chat… and if WLM is possible then YMSG, AIM, GTalk… apps would follow. but we have nothing.
Rewire

Windows Live Messenger / MSN Messenger has an active user base of over 240 Million, BBM has a tiny install base by comparison so it makes a lot of sense to bring WLM to WP7.

simbadogg

yeah, and as far as that 240 million, how much of that user base is in the US? as i said before, they have a huge WORLD presense, but in the US, WLM as i said, doesn't have a huge presence.

http://www.facebook.com/robnewton1 Rob Newton

the US is not the centre of the universe. if microsoft uses your logic then they will fail.

simbadogg

No..it just sounds like your logic fails.
The writer of this editorial says that MSFT should have a communication method similar to BBM. Many suggest WLM. Problem is, and as much as you don't want to admit it, the US is one of RIMs largest markets, if not the single largest. So MSFT should push WLM on their phones when the wp7 install base is next to nothing? Why would anyone switch to WLM as an alternative to texting when none of their friends/colleagues have a wp7 device to take advantage of it. It makes infinitely more sense to jump onto an already established platform like Kik out of the gate (in wp7s infancy). Maybe in some years, WLM could be the defacto method, but being able to message the one person I know that has a wp7 device vs all the I know with wp7, Android, and iOS is a no brainer, kik wins.

Wurstsalat

Its not only the messenger thing what is carrier friendly and not end user friendly, just look at the update process…
The informations to the customers are realy crap -> "have a bit patience"…questions about "what have to be tested?" are still ignored and wp7 users with devices from one of the biggest carriers (deutsche telekom to name it) getting no info about anything.

So there are bad bugs at essential features of wp7 in build 7004 (marketplace, zune and so on)…
so how could i recommend anyone a wp7 device at the actual situation (end users didnt get the bug fixes and no new missing features existing on all other mobile operating systems?)?

My trust in MS WP7 is near zero, especially for europe users -> windows phone 7 team blog, oh we hear you at&t users, we doin….deutsche telekom? No sentence….and the europe users have to miss even features like turn by turn navigation (ok its a bing thing).

MS has to wake up soon, very soon (yesterday?) to not loose the last market share they have and not have a second kin.
drunkinected

If I remember correctly the Klik developers were exactly the ones in the stage at MIX11 so you can be sure they will show up.
On the other hand, every single WP7, Xbox and Windows user is a potential WLM user so adding the 300 Mil (no idea where I read this number) and you have a very compeling reason to invest in WLM.
Furthermore, there are people who don't want/care multiple IM systems (myself included) so providing a solid and native one that already integrates with Microsoft's ecosystem will most certainly go a long way to please the ubber fanboys Microsoft has.
I am not necessarely one of those, but it will take nothing short of a goddess madly in love with me to convince me to have more than one IM. Since I use Windows and Xbox, any other choice is absolutely pointless.
GetTheFactsStraight

I have to respectfully disagree on a multitude of fronts with this article.

First, this website has done a good job of reporting info re: WP7 in the past. The opinions offered here are barely justifiable or substantiated with evidence; collegiate homework assignments require more than one source. I'd like to see more evidence to the point…

Second – to make the conclusion that BBM and the lack of Messenger in current revision of WP7 (rumor mill puts in it in Mango timeframe) will damage both their competitiveness and shows a lack of target end-consumers is the wrong one in my opinion. We know that data plans are required for this and more $$. But how does that show a lack of consumer focus? No IM = bad focus on consumers? Really?

Third – and this is the crux of this editorial – focusing on carriers is bad, focusing on consumers is good. MS needs to do both. Problem is, no matter how many users want a device, if a carrier does not carry, sell, and even market/recommend it, you've lost the battle before it's fought. This was evident with the iPhone on Verizon – no matter how much users wanted it, they had to wait years to get it, due to AT&T's exclusitivity rights.
mussab

iPhone is huge in my country.

And even though its price is around 1000$, you still can't get one from the main retailer without a long long wait, even with the near launch of iPhone 5.

The only thing bigger than the iPhone here is .. Blackberry

Although people didn't know about until 2-3 years ago, everyone now buys it, and they buy it just for the BBM

.. and I mean .. JUST for BBM!

Hotmail is also huge, and even if someone uses Gmail or Yahoo, he usually have a Live account just for Messenger.

If Microsoft would integrate and operate Messenger "in the same way" BB do with theirs (+ support the local language), I have no doubt that WP7 will sell like hot cakes, if not becoming the #1 selling device.

Microsoft have the advantage now, with the popularity of Live services, and the lack of other serious alternatives for BBM

And don't forget that that would help increase their Live services popularity even more.
IAmTheNinja

Am I the only one that has thought of BBM being utilized my Microsoft? I mean they already help with their BBM network security, and have close ties on other fronts (Blackberry Exchange Server, etc). Why not get the rights to join in on BBM? I mean, I know that's going to be a hard sell to RIM but some kind of deal with WP7 being a more consumer device and Blackberry having a more enterprise base.

Most of my friends have BBM and were it not for the whole "ecosystem setup" that I'm pretty set on, I probably would have had a Blackberry.
tjarren

Verizon customer here. I can't buy a WP7 right now. Kinda hard for MS to cater to the consumers when a carrier doesn't have one their devices, isn't it?

Oversimplification of matter is oversimplified yadda yadda yadda.
http://www.facebook.com/people/Andrea-Barbera/633833446 Andrea Barbera

Even thought I agree with the fact that Microsoft should deliver Live Messenger to WP7 in a much better way that currently is possible, I don't think carriers have much to do with it. Why would have they come up with a pretty good client for iOs?

http://wmpoweruser.com wmpoweruser

Because they do not care about the iPhone's carrier relations?

http://www.facebook.com/people/Milad-Bazzaz/100000479683479 Milad Bazzaz

If you give what consumers want, the carriers have no choice but to offer the device.

If you offer what the carriers want, you have carriers that push your phone but can't sell any.

Microsoft needs to understand that if your product is consumer friendly, then they will buy your devices regardless of what the carrier wants. And that gives the carriers no choice but to offer your devices to remain competitive.

http://wmpoweruser.com wmpoweruser

Exactly what I am arguing.
expectafight

that isn't always true though.

The Open Handset Alliance (aka Google's partner with the Android OS) had members in the microchips side, carrier side and OEM side (Nvidia, T-Mobile and LG respectively). If there is skin in the game for the carriers, they will push it (see the Sidekick and MyTouch 4G commercials right now).

Additionally, after what went down with MS and Danger, was the sidekick the device that people were chanting for?

***

Be realistic, the mindshare of an OS is something that is gained via positive word of mouth AND by positive experiences. People wont know what they want until someone/something shows them that they should want it.

expectafight

*sigh*

Let's be practical here. Most users in the US get their devices from a carrier. Therefore, the simple relationship goes as follows: Consumer goes to carrier store, consumer buys phone that the carrier carries (subsidized by carrier themselves), consumers pay carrier for service.

If MS isn't a carrier and they aren't an OEM, they better play damned nice with carriers to try to put more of an onus on them to get WP7 in their portfolio. Period.

People complain often about MS's role with carriers as to make it seem like they care more about carriers than the consumers…being practical, I say SOOOOO???!!!! Pay attention to what they have been doing. Making an effort to promote the homebrew community, being aggressive in trying to pull in new devs and being proactive in anticipating the needs of existing devs (1500 new API's in one shot show that pretty clearly) and taking the needed steps to consistently ensure that the UX stays consistent across First Party apps all lead to the fact that it looks like they are looking to build the ecosystem right now.

Early adapters always know what they're in for. Enjoy the growth and if you can't, the grass is always greener on the other side for a reason (it's called perspective (-: ) .