Telefonica (TEF) Will Push Microsoft (MSFT) WP8 in Several Key Markets
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(Updated - June 26, 2013 7:33 AM EDT)
Telefonica (NYSE: TEF) is taking a similar route to Nokia (NYSE: NOK). That is, placing a lot of faith on what many expect will become a strong third-place contender in the mobile operating system segment.
According to a statement from the company issued Wednesday, Telefonica will be enhancing marketing efforts for Microsoft's (Nasdaq: MSFT) Windows Phone 8 platform in European markets like Germany, the U.K., Spain, not to mention LatAm markets like Mexico and Chile. The marketing effort will initially last for one year.
Telefonica noted that it was committed to providing customers with choices beyond the duopoly of Google (Nasdaq: GOOG) Android and Apple (Nasdaq: AAPL) iOS platforms.
In the latest quarter, Windows Phone 8 accounted for 3.3 percent of global smartphone shipments.
Telefonica is flat early Wednesday, while Microsoft is indicated for a higher open.
UPDATE - The full press release is below:
Telefónica today announced the establishment of an enhanced marketing effort with Microsoft that aims to boost the sales of Windows Phone 8 devices. Initially for a period of one year, Telefónica will enhance marketing activities in support of its Windows Phone 8 devices in the U.K., Germany, Spain, Mexico, Brazil and Chile.
Telefónica, through its Global Devices area, and in collaboration with all its business units, is firmly committed to enhancing its commercial offering mobile devices to encourage the presence of additional mobile operating platforms as an alternative to the current duopoly of Android and iOS, and provide customers with a more personal smartphone experience like Windows Phone offers.
In this way, the Spanish multinational is reinforcing its commitment to pave the way for a much more competitive market. Promoting the use of Windows Phone 8 will benefit customers, as there will be more options to choose from while diluting the polarisation of installed base in operating platforms.
Telefónica plans to offer its clients enterprise-class business features such as Office 365 and SharePoint, as well as consumer-facing features such as Skydrive and Xbox in a mobile environment connected to the Internet, aiming to increase distribution of Windows Phone 8 devices through the collaboration with Microsoft.
As part of the commitment, Telefónica will encourage growth in market demand for Windows Phone 8 while working with suppliers to ensure the availability of high-quality devices. It will be working with the leading manufacturers of Windows Phone 8 devices to make their commercial offering available throughout the duration of this enhanced marketing effort with Microsoft.
“An associate partner such as Microsoft is chosen as a result of its operator-focused business approach. The Microsoft business culture is based on a model of value creation through its partnersassociates, which fits in perfectly with our culture and also with our way of doing business,” said José María Álvarez Pallete, COO of Telefónica S.A.
According to Terry Myerson, corporate vice president, Windows Phone Division at Microsoft, “We are excited to work with Telefónica to market Windows Phone 8 devices to more customers in the UK, Germany, Spain, Mexico, Brazil and Chile, bringing them a more personal smartphone experience with the speed of Telefónica’s network.”
Telefonica (NYSE: TEF) is taking a similar route to Nokia (NYSE: NOK). That is, placing a lot of faith on what many expect will become a strong third-place contender in the mobile operating system segment.
According to a statement from the company issued Wednesday, Telefonica will be enhancing marketing efforts for Microsoft's (Nasdaq: MSFT) Windows Phone 8 platform in European markets like Germany, the U.K., Spain, not to mention LatAm markets like Mexico and Chile. The marketing effort will initially last for one year.
Telefonica noted that it was committed to providing customers with choices beyond the duopoly of Google (Nasdaq: GOOG) Android and Apple (Nasdaq: AAPL) iOS platforms.
In the latest quarter, Windows Phone 8 accounted for 3.3 percent of global smartphone shipments.
Telefonica is flat early Wednesday, while Microsoft is indicated for a higher open.
UPDATE - The full press release is below:
Telefónica today announced the establishment of an enhanced marketing effort with Microsoft that aims to boost the sales of Windows Phone 8 devices. Initially for a period of one year, Telefónica will enhance marketing activities in support of its Windows Phone 8 devices in the U.K., Germany, Spain, Mexico, Brazil and Chile.
Telefónica, through its Global Devices area, and in collaboration with all its business units, is firmly committed to enhancing its commercial offering mobile devices to encourage the presence of additional mobile operating platforms as an alternative to the current duopoly of Android and iOS, and provide customers with a more personal smartphone experience like Windows Phone offers.
In this way, the Spanish multinational is reinforcing its commitment to pave the way for a much more competitive market. Promoting the use of Windows Phone 8 will benefit customers, as there will be more options to choose from while diluting the polarisation of installed base in operating platforms.
Telefónica plans to offer its clients enterprise-class business features such as Office 365 and SharePoint, as well as consumer-facing features such as Skydrive and Xbox in a mobile environment connected to the Internet, aiming to increase distribution of Windows Phone 8 devices through the collaboration with Microsoft.
As part of the commitment, Telefónica will encourage growth in market demand for Windows Phone 8 while working with suppliers to ensure the availability of high-quality devices. It will be working with the leading manufacturers of Windows Phone 8 devices to make their commercial offering available throughout the duration of this enhanced marketing effort with Microsoft.
“An associate partner such as Microsoft is chosen as a result of its operator-focused business approach. The Microsoft business culture is based on a model of value creation through its partnersassociates, which fits in perfectly with our culture and also with our way of doing business,” said José María Álvarez Pallete, COO of Telefónica S.A.
According to Terry Myerson, corporate vice president, Windows Phone Division at Microsoft, “We are excited to work with Telefónica to market Windows Phone 8 devices to more customers in the UK, Germany, Spain, Mexico, Brazil and Chile, bringing them a more personal smartphone experience with the speed of Telefónica’s network.”
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