In the video below, Erin Corr chats with Fool.com analyst Eric Bleeker about Microsoft's (Nasdaq: MSFT) Kin smartphone. Despite being on the market for less than two months, Microsoft is ending sales of the phone series.
Why such a sudden death for a product that had a national advertising campaign, and was featured by launch partner Verizon (NYSE: VZ)? Bleeker says sales were abysmal largely because the product targeted a segment that doesn't exist. The Kins had a suboptimal browsing experience and no apps, yet still required the same $30/month data plan used by more robust smartphones. Given the Kin's meager sales, and with the more promising Windows Phone 7 reboot on the horizon, Microsoft decided to cut its losses.
As for the future of Microsoft's mobile initiatives, Bleeker says he's not impressed. If Windows Phone 7 launches before the end of this year -- which is anything but assured, given Microsoft's recent track record -- it will still have an uphill climb. While Apple (Nasdaq: AAPL) and Google (Nasdaq: GOOG) have been building developer support and strong app stores recently, Microsoft is starting fresh with Windows Phone 7. Whatever meager apps get developed in anticipation of its release will pale in comparison to its rivals' robust offerings. Meanwhile, with every day that Microsoft doesn't launch its newest phone operating system, its rivals gobble up market share.
To hear Bleeker's full thoughts on the demise of the Kin and Microsoft's mobile future, watch the video below:
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