As a nod to its power, even Google Inc. (NASDAQ:GOOG) competitors can’t seem to come up with anything that can overcome the Android operating system. So, in the tradition of the “if you can’t beat them, join them” philosophy, Microsoft Corporation (NASDAQ:MFST) Nokia arm has decided to distribute a smartphone that will be utilizing a version of the Android OS.
To be fair, Nokia Corporation (NASDAQ:NOK) had been working on this project even before Microsoft purchased their handset business for $7.4 billion in September of 2013. After the Microsoft acquisition, there was not much news of the Android project, but it has recently been confirmed that the Android smartphone will receive a proper introduction at the Mobile World Congress on February 24.
To date, Microsoft has struggled to make its mark on the smartphone market, and this also rings true for Nokia. Of course, Nokia had been known for its high-end models, but both companies do not yet have traction in the low-cost smartphone industry that has been a significant growth factor for Google.
Contending with a giant such as Google is costly, so Nokia hopes the move towards an Android device will help alleviate some of those expenses while proving the company can be marketable and attractive within the affordable handset industry.
On the other end of the spectrum, Microsoft will continue to update its Windows phone, so that it can offer a worthy opponent to the Apple Inc. (NASDAQ:AAPL) iPhone line. However, even though Nokia’s next handset will be Android-based, it will also differ in the sense that it won’t have connections to some of the Google-developed features, and it won’t offer all of the apps in the Google play store.
On the surface, this appears to be a smart move from a company that needs to attain a foothold in the low-cost mobile phone market. Nonetheless, the future results will speak volumes.
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