<p>Microsoft plans to unveil a version of its operating software that runs for the first time on processors designed by ARM Holdings PLC, the Wall Street Journal and Bloomberg reported. <br /><br />Microsoft intends to announce a version of its operating system to run on ARM chip architecture, which competes with the “x86” designs favored by Intel, the WSJ cited sources as saying.<br /><br />It was unclear when such an operating system might come to market, but the company could claim lost ground in tablets and other battery-powered mobile devices by forging a new partnership with ARM.<br /><br />Microsoft said, on Tuesday that more than 1.5 million cellphones carrying Windows Phone 7 operating software have sold in the first six weeks of launch.<br /><br />Windows Phone 7 may be Microsoft’s last chance to establish a major presence in a hot cellphone market now dominated by Apple Inc and Google Inc, analysts say.<br /><br />Microsoft’s disappearance from the phone market and its delayed response to tablet devices like Apple’s iPad has been seen as a drag on shares this year. Its shares closed up 26 cents on Tuesday at $28.07.<br /><br />But Gillis noted that the shipment of 1.5 million phones was sales into the distribution channel, rather than directly into consumers’ hands, which tempers the announcement.<br /><br />Taiwan’s HTC, Dell Inc, Samsung Electronics and LG Electronics are among the vendors who have launched or plan to begin selling Phone 7-based devices. The industry is closely watching the early days of what could be a longer-term driver of growth. Gillis forecasts about 25 million Phone 7 sales in 2011. In contrast, analysts expect Apple to sell more than 60 million iPhones next year.<br /><br />Gillis noted that Microsoft is spending $500 million to market the Windows 7 smartphone, and suggested the company could see market gains by using some of that cash to subsidize the devices so consumers get them for free.</p>
<p>Microsoft plans to unveil a version of its operating software that runs for the first time on processors designed by ARM Holdings PLC, the Wall Street Journal and Bloomberg reported. <br /><br />Microsoft intends to announce a version of its operating system to run on ARM chip architecture, which competes with the “x86” designs favored by Intel, the WSJ cited sources as saying.<br /><br />It was unclear when such an operating system might come to market, but the company could claim lost ground in tablets and other battery-powered mobile devices by forging a new partnership with ARM.<br /><br />Microsoft said, on Tuesday that more than 1.5 million cellphones carrying Windows Phone 7 operating software have sold in the first six weeks of launch.<br /><br />Windows Phone 7 may be Microsoft’s last chance to establish a major presence in a hot cellphone market now dominated by Apple Inc and Google Inc, analysts say.<br /><br />Microsoft’s disappearance from the phone market and its delayed response to tablet devices like Apple’s iPad has been seen as a drag on shares this year. Its shares closed up 26 cents on Tuesday at $28.07.<br /><br />But Gillis noted that the shipment of 1.5 million phones was sales into the distribution channel, rather than directly into consumers’ hands, which tempers the announcement.<br /><br />Taiwan’s HTC, Dell Inc, Samsung Electronics and LG Electronics are among the vendors who have launched or plan to begin selling Phone 7-based devices. The industry is closely watching the early days of what could be a longer-term driver of growth. Gillis forecasts about 25 million Phone 7 sales in 2011. In contrast, analysts expect Apple to sell more than 60 million iPhones next year.<br /><br />Gillis noted that Microsoft is spending $500 million to market the Windows 7 smartphone, and suggested the company could see market gains by using some of that cash to subsidize the devices so consumers get them for free.</p>