Some rumours just refuse to die. Amidst the hype surrounding Microsoft’s first foray into hardware with its Surfacetablet, some hushed whispers from Redmond suggest that Microsoft are also actively developing its own smartphone, naturally powered by Windows Phone 8. On the surface, a Microsoft WP8 smartphone does not really make much sense, since they have some pretty impressive partners in Nokia, HTC and Samsung, among others, in delivering the final WP8 products.

However, with Google slowly becoming more than just a software-based company with its line of Nexus devices in addition to its recent acquisition of Motorola, and considering Apple’s dominant footprint both in its iOS operating system and its iDevices, Microsoft risks losing out in brand identity without its own hardware. Hence, the Surface tablet…and possibly soon, a Microsoft smartphone.

Microsoft are keeping their cards very closely on their chests for this one – possibly to shift the limelight quite rightly towards its current lineup of new WP8 smartphones. However, WSJ is reporting that Microsoft is already testing its smartphone design with its Asian suppliers. If this is true, it appears development for the device is pretty far down the pipeline, although still some way off from mass production.

(Source: The Verge)