Microsoft reports 58% lower Phone sales Year Over Year just as Windows 10 Mobile's adoption rate stalls

[AlTech]

Windows 10 Mobile's adoption rate has stalled at a mere 14% of all existing Windows Phones.

For reference, Over 75% are still using Windows Phone 8.1.......

 

And now we might have the answer. Microsoft has announced 58% lower Phone sales Year over Year......

 

And if you keep score, Microsoft's phone sales have dropped 72% since Q1 2015 (this is Q1 2017).

 

Ouch.............

 

 

This is the information available from AdDuplex, a company which specializes in ADs compatible with the Windows Store.

 

Quote

On its 8-K form submission to the SEC - published alongside its Q1 FY2017 results - Microsoft said that "phone revenue decreased $799 million or 72% driven by a reduction in volume of phones sold". Let's put that into some context.

In its earnings report for Q1 FY2015, Microsoft said that phone hardware revenue "exceeded $2.6 billion". But when it published its quarterly results for Q1 FY2016 a year later, Microsoft said in its 10-Q submission to the SEC that phone revenue had "decreased $1.5 billion or 58%" year-over-year, pushing it down to around $1.1 billion.

 

This is what Microsoft had to say about the state of their plan for phones......

Quote

In July 2015, we announced a plan to restructure our phone business to better focus and align resources. In May 2016, we announced plans to further streamline our smartphone hardware business. These changes in the phone business reinforce our strategy to create a vibrant Windows ecosystem with a single set of experiences across our first-party device family and original equipment manufacturer (“OEM”) offerings. Part of this strategy involves focusing our phone devices on a narrower range of customer categories and differentiating through the combination of hardware and software we are uniquely positioned to offer. As anticipated, our change in phone strategy resulted in a reduction in units sold and associated expenses in fiscal year 2016, and this trend is expected to continue in fiscal year 2017.

 

Opinion:  Oh Shit . Redmond! We got a problem!

 

Sources:

 

https://www.neowin.net/news/adduplex-windows-10-mobile-isnt-growing-anniversary-update-reaches-77-of-windows-10-pcs

 

https://www.neowin.net/news/from-26bn-two-years-ago-microsofts-phone-revenue-fell-to-around-300m-last-quarter

[AlTech]

@GoodBytes So much for your idea of Windows 10 Mobile reaching 10% of total smartphone market share.

[Morbidos]

ouch...  but I can't say I am surprised tho... Windows Phone has some serious issues with app support that needs resolving... (**Waving fist at Spotify**)

 

Gotta get my 640XL's screen swapped soon, 640XL Screen < Tile floor...

Stuck with the Note3 at the moment, love having apps again but battery life is non existent, and I think it has a severe case of alzhimers... 

[KuJoe]

I still really want a Windows phone even after finding the perfect Android phone for myself. Oh well, I guess I'll just buy another laptop since those make calls also.

[AlTech]

1 minute ago, KuJoe said:

I still really want a Windows phone even after finding the perfect Android phone for myself. Oh well, I guess I'll just buy another laptop since those make calls also.

Read: Windows Phones are still supported but nobody is really buying new ones. You can buy some cheap Windows Phone for like $100 or $200 which will run smoothly.

 

1 minute ago, Morbidos said:

ouch...  but I can't say I am surprised tho... Windows Phone has some serious issues with app support that needs resolving... (**Waving fist at Spotify**)

Spotify's app got an update around a month ago and really got a massive improvement.

 

This report doesn't show OEM Windows Phone device sales though. if  we ever got that information it would be nice. HP's Elite X3 has been quite popular recently.

1 minute ago, Morbidos said:

Gotta get my 640XL's screen swapped soon, 640XL Screen < Tile floor...

Yay. Another 640XL owner . I have a few scratches but my display is fine.

[SCHISCHKA]

for years businesses have been asking microsoft to deliver on mobile phones because many were still using windows CE. Its too late to play catch up and the average consumer wants trendy not boring. Theres also the shift towards cloud & BYOD which makes the windows platform monopoly a thing for history. I'm more interested in the next ubuntu phone than what microsoft is doing. I'm pretty sure my next laptop will be an ubuntu phone paired with a nexdock style screen, power bank, keyboard & trackpad product

[Morbidos]

7 minutes ago, AluminiumTech said:

Spotify's app got an update around a month ago and really got a massive improvement.

 

 

Yay. Another 640XL owner . I have a few scratches but my display is fine.

That app still sucks tho... I mean the update did help... but to be honest It's still beta at best... way to random if it will still be woking after you lock the screen, it keeps playing but the app is not active and when you try to open it it just gets stuck opening... and I am so tired of webview apps... like the YouTube "app" that is utter... (insert curse word) if the app support were on par with android I'd throw my Note in the ocean with a running start any day... 

 

Yea mine survived shedloads of falls but shattered like an iphone at last... the screen still works but your hand looks like you stuck it in the meat grinder after using it... sharp as F that glass

[deviant88]

a little fix

"Windows Phone adoption rate FALLS (not stalls)"

[pwn_intended]

I've been trying to support win phone for the last 4 years (Lumia 1020, and 950xl now) but MS keeps pulling stupid shit. They keep on removing features with every update and making things more annoying. I'm close to drinking the kool aid and supporting the "designed in cali" thugs.

[AlTech]

SO I found the total market share statistics on Windows Phone...... It's not pretty.

 

All currently used Windows Phone based OSes add up to: 1.96% of all phones.

 

 

Edited October 24, 2016 by AluminiumTech
FIxed wrong maths calculations......

[Morbidos]

8 minutes ago, AluminiumTech said:

SO I found the total market share statistics on Windows Phone...... It's not pretty.

 

All currently used Windows Phone based OSes add up to: 1.96% of all phones.

 

 

So that means "we're special" then i guess..

[AlTech]

2 minutes ago, Morbidos said:

So that means "we're special" then i guess..

We're not Sheeple. That's for sure .

[Kinda Bottlenecked]

MS should just move with those dual boot phones that have Android and Win 10 in it without the price premium. 

Peeps would buy it for its ability to "dual boot" but never actually using the win OS. 

 

But yer get to sell phones. 

[AlTech]

Just now, Pohernori said:

MS should just move with those dual boot phones that have Android and Win 10 in it without the price premium. 

Peeps would buy it for its ability to "dual boot" but never actually using the win OS. 

 

But yer get to sell phones. 

Microsoft plans to make a comeback in 2019/2020...........

[Unhelpful]

38 minutes ago, AluminiumTech said:

@GoodBytes So much for your idea of Windows 10 Mobile reaching 10% of total smartphone market share.

To be fair... That's a pretty stupid idea.

[Kinda Bottlenecked]

Just now, AluminiumTech said:

Microsoft plans to make a comeback in 2019/2020...........

 

Whose gonna wait for that?

 

I'll already have a new phone by 2018.

[AlTech]

Just now, Pohernori said:

 

Whose gonna wait for that?

 

I'll already have a new phone by 2018.

Exactly, your phone in 2020 might be by Microsoft....

 

Also, OEMs will continue to make Windows phones until that time.

[AlTech]

2 minutes ago, JoeyDM said:

To be fair... That's a pretty stupid idea.

It's a healthy dose of optimism. Something that long time Windows Phone followers need.

[Kinda Bottlenecked]

Just now, AluminiumTech said:

Exactly, your phone in 2020 might be by Microsoft....

 

Also, OEMs will continue to make Windows phones until that time.

 

Give me an android phone. I'll take that. 

Don't want anything to do with windows phones. 

[AlTech]

Just now, Pohernori said:

 

Give me an android phone. I'll take that. 

Don't want anything to do with windows phones. 

Because?

[Unhelpful]

5 minutes ago, AluminiumTech said:

It's a healthy dose of optimism. Something that long time Windows Phone followers need.

Optimism can turn into delusion pretty quickly. And for the most part, has.

[Citadelen]

I'm not going to be surprised by bad news for Windows Phone until they release the Surface Phone.

[Unhelpful]

14 minutes ago, AluminiumTech said:

Because?

They bring very little new compelling features to the table and primarily have drawbacks compared to many equivalently-price Android-based phones and iPhones. They really haven't found a good target market for them  which really is a shame.

[AlTech]

4 minutes ago, JoeyDM said:

They bring very little new compelling features to the table and primarily have drawbacks compared to many equivalently-price Android-based phones and iPhones. They really haven't found a good target market for them  which really is a shame.

Law enforcement, government bodies and Enterprises. Consumers are the only area where it sucks.

[KuJoe]

56 minutes ago, AluminiumTech said:

Read: Windows Phones are still supported but nobody is really buying new ones. You can buy some cheap Windows Phone for like $100 or $200 which will run smoothly.

With the future of Windows phones looking pretty grim, I'm not ready to get one unless I can get some assurances from Microsoft they will continue to be supported for X years.