The price of smartphones running Windows Phone OS will fall by much as half by 2012, the head of Microsoft’s Windows Phone division has claimed.
Speaking at the Microsoft's Worldwide Partner Conference in Los Angeles today (13 July), Andy Lees told the 15,000 attendees: ‘You're seeing a dramatic price reduction.’
Lees said the price cuts would be possible because manufacturers are now able to pack more functionality onto the tiny processors in their phones. He predicted that price of smartphones, before carrier discounts for long-term contracts, will hit $100 (£62.80) to $150 (£ 94.20) by next year.
Meanwhile, Lees also revealed that Microsoft would not be offering its Windows Mobile operating system to tablet manufacturers.
He explained that Microsoft believed that tablet users want many of the functions available to them when they use PCs such as the ability to connect to a network and the ability to print documents.
Lees said: ‘We view a tablet as a sort of PC.’
The software giant plans to improve its dominant Windows operating system in PCs to strengthen its position in the mobile space in a bid to rival Apple.
He added: ‘We won't have an ecosystem for PCs, and one for phones and one for tablets.’