Microsoft and LG Collaborate On Mobile Technology
Posted on: Monday, 3 November 2008, 15:45 CST
Microsoft Corp. and LG Electronics announced Monday that they had reached a preliminary deal to collaborate on mobile technology.
The agreement was signed during Microsoft CEO Steve Ballmer's visit to South Korea.
"The agreement ensures continued strategic collaboration in R&D, marketing, applications, and services in the field of converged mobile devices," said South Korea’s LG said in a statement.
"Both companies will continue to define and align their mobile strategies through annual top management meeting."
LG Electronics’ South Korean competitor Samsung Electronics also made a big announcement Monday, unveiling a domestic version of its Omnia touchscreen handset that runs on Microsoft’s Windows Mobile 6.1 operating system. Samsung said the new Omnia model will be available from mid-November as part of an exclusive agreement with SK Telecom, South Korea’s top mobile operator.
Microsoft hopes its Windows Mobile operating system will continue to challenge Symbian, which is used by two-thirds of the world’s smartphones, including those made by top mobile phone maker Nokia.
Apple Inc.'s iPhone and Research in Motion’s Blackberry and are also adding pressure to Symbian, while several other manufacturers are planning or launching smartphones based on Google's new Android software. Samsung and LG, both part of the Symbian Foundation, are also developing models based on Android.
"These are not new deals, but rather a way for South Korean makers to reinforce existing alliances," Greg Roh, an analyst at Korea Investment & Securities, told Reuters, referring to the Microsoft-related announcements.
"Competition is getting more and more fierce in the smartphone segment, and South Korean makers have some weaknesses on Symbian platforms, so it is understandable that they would broaden their alliances."
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Source: redOrbit Staff & Wire Reports
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