Satya NadellaMicrosoft CEO Satya Nadella has stoked speculation this week that Redmond is prepping a new line of smartphones under the Surface brand for launch in early 2017.

In an interview with the Australian Financial Review published on Monday, Nadella said the company was conducting innovative research that would ensure it continued to have a presence in the smartphone market. However, rather than follow a present trend, Microsoft would attempt to re-define the field in a single-handed pursuit of the "ultimate mobile device".

Underlining his philosophy, Nadella said that the company would not launch into a device category without bringing something different to the table, because it was more interested in how individuals and organizations were using devices, and less in the devices themselves.

"We don't want to be driven by just envy of what others have, the question is, what can we bring? That's where I look at any device form factor or any technology, even AI," he said. "We will continue to be in the phone market not as defined by today's market leaders, but by what it is that we can uniquely do in what is the most ultimate mobile device."

Rumors of a "Surface Phone" that would complement the popular Surface Book and the highly praised Surface Studio have been bubbling away for a while. Some rumors suggest a device running Windows 10 Mobile OS, others predict a range of devices, some of which could sport a keyboard flip case reminiscent of Blackberry phones. Meanwhile, several observers have pointed to the HP Elite x3 – part smartphone, part mini PC – as a potential indicator of where the company could take its mobile ambitions, possibly as soon as early next year.

The introduction of a Surface Phone would represent a bold return to the smartphone market for Microsoft, after its consumer phone ambitions fell flat following the company's Nokia mobile acquisition over two years ago. Microsoft subsequently laid off hundreds of employees tied to its smartphone business in May, suggesting the company had all but given up on the consumer phone market.

Top Rated Comments

gixxerfool Avatar
119 months ago
With the love the Surface Studio is getting and the more "universal" OS that Windows is becoming makes me wonder if Microsoft isn't the sleeping giant. While Google and Apple are going after each other, Microsoft could be getting their crap together and really turn the market on its ear. Time will tell.
Score: 38 Votes (Like | Disagree)
dantastic Avatar
119 months ago
I actually used and developed for the Windows phone. A real shame it was canned because I think Windows on the phone was a nice OS and it was really nice to develop for.
The only problem was the tiny tiny market share.
If they can make a second attempt to enter the market I'd say Microsoft is the one to watch. They are going from strength to strength at the moment. If they can only reach critical mass the apps will follow.
Score: 13 Votes (Like | Disagree)
Telos101 Avatar
119 months ago
Satya Nadella is the new Steve Jobs.

Oh how the tables have turned.
Score: 11 Votes (Like | Disagree)
polterbyte Avatar
119 months ago
Short answer: Ha!

Long answer: Hahahahahahahahahahahahahahahahaha!
Score: 6 Votes (Like | Disagree)
rotobadger Avatar
119 months ago
Unless it has access to the Apple App Store or Google Play Store then I can't see it being a huge success.
Score: 6 Votes (Like | Disagree)
djcerla Avatar
119 months ago
The "Ultimate Mobile Device" had already been invented, and MS is out of the game for good.

Unless he's referring to implants, that are far away in the future.
Score: 6 Votes (Like | Disagree)

Popular Stories

top stories 2025 12 20

Top Stories: iOS 26.3 Beta, Major Apple Leaks, and More

Saturday December 20, 2025 6:00 am PST by
You'd think things would be slowing down heading into the holidays, but this week saw a whirlwind of Apple leaks and rumors while Apple started its next cycle of betas following last week's release of iOS 26.2 and related updates. This week also saw the release of a new Apple Music integration with ChatGPT, so read on below for all the details on this week's biggest stories! Top Stories i...
maxresdefault

Where's the New Apple TV?

Monday December 22, 2025 11:30 am PST by
Apple hasn't updated the Apple TV 4K since 2022, and 2025 was supposed to be the year that we got a refresh. There were rumors suggesting Apple would release the new Apple TV before the end of 2025, but it looks like that's not going to happen now. Subscribe to the MacRumors YouTube channel for more videos. Bloomberg's Mark Gurman said several times across 2024 and 2025 that Apple would...
iPhone Top Left Hole Punch Face ID Feature Purple

iPhone 18 Pro Features Leaked in New Report, Including Under-Screen Face ID

Tuesday December 16, 2025 8:44 am PST by
Next year's iPhone 18 Pro and iPhone 18 Pro Max will be equipped with under-screen Face ID, and the front camera will be moved to the top-left corner of the screen, according to a new report from The Information's Wayne Ma and Qianer Liu. As a result of these changes, the report said the iPhone 18 Pro models will not have a pill-shaped Dynamic Island cutout at the top of the screen....
ios 18 security update

Don't Want to Upgrade to iOS 26? Here's How to Stay on iOS 18 [Update: Now Unavailable]

Friday December 19, 2025 10:37 am PST by
Since the beginning of December, Apple has been pushing iPhone users who opted to stay on iOS 18 to install iOS 26 instead. Apple started by making the iOS 18 upgrades less visible, and has now transitioned to making new iOS 18 updates unavailable on any device capable of running iOS 26. If you have an iPhone 11 or later, Apple is no longer offering new versions of iOS 18, even though there...
iOS 26

iOS 26.3 Brings AirPods-Like Pairing to Third-Party Devices in EU Under DMA

Monday December 22, 2025 3:20 pm PST by
The European Commission today praised the interoperability changes that Apple is introducing in iOS 26.3, once again crediting the Digital Markets Act (DMA) with bringing "new opportunities" to European users and developers. The Digital Markets Act requires Apple to provide third-party accessories with the same capabilities and access to device features that Apple's own products get. In iOS...
iPhone Chips

Apple Clings to Samsung as RAM Prices Soar

Monday December 22, 2025 6:17 am PST by
Apple is significantly increasing its reliance on Samsung for iPhone memory as component prices surge, according to The Korea Economic Daily. Apple is said to be expanding the share of iPhone memory it sources from Samsung due to rapidly rising memory prices. The shift is expected to result in Samsung supplying roughly 60% to 70% of the low-power DRAM used in the iPhone 17, compared with a...
apple beta 26 lineup

Apple's 2026 and 2027 Product Roadmap: Foldable iPhone, iPhone 18 Pro, M5 Macs, and More

Tuesday December 16, 2025 4:42 pm PST by
There has been a whirlwind of rumors over the last few days, sourced from leaked internal software designed for the iPhone and the Mac, and news sites like The Information. Below, we have a quick recap of everything we've heard this week, which serves as a guide to Apple's product plans in 2026 and beyond. We've organized the info by likely release date, though there are some products that...