• Michael
• On January 29, 2016

A 49% drop in phone revenue compared with 2014

Windows Phones are not selling well. After months without new models, Microsoft finally announced three phones in late 2015, but whether because of poor reception, rushed operating system, or merely an inability to launch the devices in all markets in time for the Holidays, Microsoft saw a massive decline in device revenue for the last quarter.

In its earnings report, the company reveals that the phone revenue fell by 49% and the total number of Lumias sold is 4.5 million, which is around 1.1% of the overall smartphone sales for the period.

For comparison, in Q4 2014, Microsoft sold 10.5 million phones which was the best achievement to date. So, the situation at the moment is not bright – we have Microsoft still working on Windows 10 Mobile update for the older phones, just three new models on the market, and almost no support from other OEMs and app developers.

At the same time, the Surface sales have increased from $672 to $1.352 million showing that Windows 10 is not so doomed. Is there a hope for Windows Phone under the Surface brand? We don’t know, but one thing is certain – 2016 will be a crucial year for the Microsoft’s mobile ambitions.