mocoNews.net - Clearing Up The Confusion Over The Zune Phone

This week we got the clearest message from Microsoft (NSDQ: MSFT) to date on the rumor that just won't die: "Microsoft is not doing a phone." AllThingsD received that response after a fresh round of rumors surfaced yesterday. Analysts Rob Sanderson and Mark McKechnie of Broadpoint.AmTech wrote in a research report that "multiple industry sources are telling us that [Microsoft] is planning to launch a smartphone," or a mobile device featuring more advanced functionality and capable of accessing the Internet. The launch could come as early as Mobile World Congress.

Today, there's some rational explanation coming to light. Turns out that Microsoft is not going to unveil a Zune phone, or any other kind of Microsoft-branded phone on Feb. 16 in Barcelona. But according to ZDNet's Mary-Jo Foley, who quotes people familiar with the company's mobile plans, Microsoft is developing multiple "smartphone chassis" or reference implementations that gives handset-makers a head start on building a phone. Foley points out that could mean there will be Zune phones, but they won't be crafted ? beyond the reference design ? by Microsoft.

Before we all get too excited about Microsoft's news at MWC, there will likely be a stark difference between announcing what the company is doing and the compaony launching new products and services. Foley notes that these chassis will likely focus on the Windows Mobile 7 platform, which may not be ready until 2010. But either way, Microsoft hasn't had this much buzz in mobile in a long time. Now it just has to live up to the hype.