Rumor: Microsoft Corporation (NASDAQ:MSFT) Is Believed To Have Plans Of Making Its Own Windows 8 Phone

Rumors say that Microsoft Corporation(NASDAQ:MSFT) is making its own smartphone that will operate on Windows Phone 8, a move that is likely to help competing against the iPhone. This would again put the firm in competition with its hardware partners.

The rumor first surfaced from the China Times. It was followed by a similar story in Boy Genius Report.

The story published on the China Times seems to reveal that Microsoft has entered into a deal with smartphone assemblers and developers in China in order to build a Windows Phone 8 smartphone under the brand name of Microsoft. It is believed to go on sale sometime next year.

Boy Genius Report has cites two unnamed sources saying that Microsoft has plans of releasing the Surface smartphone in the upcoming months to rival against high-end phones like Samsung Galazy S III and iPhone 5.

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Surface is the name of Microsoft’s tablet that is slated to release on 26^th October along with Windows 8 OS.

Another BGR source reveals that the timing of the smartphone launch is up in the air, but there are chances that the date will be after the holiday shopping season this year.

If the rumors are true, then there will be two possibilities. Microsoft will be risking the ire of hardware partners by entering into competition with them. It is also adopting the same model that Apple has incorporated in making and selling iPhones and iPads by controlling both software and hardware that are associated with the gadgets.

The firm has already caused a flap with its plans of selling Surface tablets and laptops. Lenovo and Acer have responded that Microsoft must think twice before entering into competition with established tablet manufacturers. HTC, Nokia and Samsung have agreed to make devices based on Windows Phone 8 in the upcoming months.