As Microsoft Updates Mobile Software, a Cautionary Tale [telecom]

As Microsoft Updates Mobile Software, a Cautionary Tale

By NICK WINGFIELD OCTOBER 14, 2013

REDMOND, Wash. - If Microsoft has learned anything while competing against Google in the Internet search business, it's that Google clings to a dominant position like a squatter does a house.

The lesson is a relevant one for Microsoft's mobile phone business. Microsoft is discovering that gains in market share for its phones are incremental, slowly acquired and ultimately dwarfed by Google's position. Just as in search, Microsoft steadily rolls out nice improvements to its mobile products, the latest batch of which are being announced Monday. At least in the past, though, these refinements have not created a swell of people who find them compelling enough to choose Microsoft over Google's Android system.

The update Microsoft is announcing Monday to its mobile operating system - its third to Windows Phone 8 - isn't a drastic set of changes. There is support for quad core processors that can give more oomph to applications, support for higher resolutions on big-screen mobile phones and a new driving mode that limits notifications people receive when they're behind the wheel.

The updates, Microsoft said, are one example of how the company is constantly chipping away at the reasons people have for buying iPhones and Google's Android phones instead of Windows Phones. Microsoft has long been trying to fill holes in the app library for Windows Phone. The company is also buying Nokia's handset business to strengthen its mobile products.

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