Microsoft to spend one billion dollars on WP7 and Kinect marketing

Microsoft knows what it takes to make a product stick in the marketplace. After breaking into the console market with its Xbox after many said that it would fail, Microsoft is about to try and do the same with Windows Phone 7 and also Kinect. 

Microsoft is about to spend a boat load of cash on pushing the new platforms to the tune of nearly one billion dollars, according to allthingsd.com. It should not come as a surprise that Microsoft is looking to push the platforms heavily as they have taken many years to develop and represent the future for Microsoft. 

The WP7 push is essential as Microsoft is currently not a player in the mobile operating system. As they look to push their mobile platform, the media campaign needs to inform consumers of the benefits of WP7 and why they should choose that platform instead of iOS, Android, or BB OS.

For Kinect, Microsoft is taking on the Wii and Sony’s Move. The controller free concept is a big risk for Microsoft as it is directly targeting the casual consumer. If the platform can hit the ground running, Microsoft will have another weapon in its arsenal to help separate itself from its competitors. 

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Are they spending the money in US only or worldwide? If it's worldwide, Kinect marketing yes sure, but WP7 on the other hand, Microsoft should spend even more resources to make Bing a better decision engine worldwide, not just in the US.

A major selling point of Windows Phone 7 is its intelligent Bing search functionality as demoed in the press conference last week. Bing Hong Kong still feels like the same old crappy Live Search from many years ago with a Bing skin (don't tell me how awesome Live Search was for you, as it probably does not apply to Hong Kong).

If our restaurant rating sites and cinemas have to end up creating their own WP7 apps instead of being awesomely integrated into Bing's smart search, it will definitely diminish one of the biggest wow-factors that can get people to switch to WP7.

I applaud Microsoft for the Kinect, I think Natal sounded better, but bravo for the innovation, rather than the blatant Wii-rip-off that Sony produced.

From what I read about it, Kinect is a pretty sophisticated piece of kit, now I can pretend to be in Minority report while browsing my Xbox ^^

Many companies do this but don't always announce exactly what or how much. Apple did it back during the iPod days. When I lived in Boston this was the scene:

You walk to the T and see the banners in front and from the ceilings. You stand on the platform to see the ads across from you on the opposite wall. The outside of the train has ads. Inside the train the has ads all over the walls. You step out at the next station and see more banners and posters. When you exit the station you see the massive billboards with ads. The streets have the mini billboards with ads. You get to the bust stop where the booth has ads. The bus has ads on the outside. The bus has ads inside. When you go to the sub shop for lunch, you hear the ads on the radio. When you browse the internet you see more ads. When you get back home, every channel has ads.

For what: the iPod. The iPod silhouette ads were every. It blanketed the whole city of boston for several months and tapered off for years.

MS should have done that with Zune etc. Unfortunately, that's one way to get brand recognition.

I wound how much money Android has had spent on it, a few million from Motorola's newspapers ads? That's pretty much it, it doesn't need advertising really, it can sell itself.

thealexweb said,
I wound how much money Android has had spent on it, a few million from Motorola's newspapers ads? That's pretty much it, it doesn't need advertising really, it can sell itself.

You are talking about something you have no idea about. But then again you have a Phd in doing that.

AtriusNY said,

You are talking about something you have no idea about. But then again you have a Phd in doing that.

Don't see you putting any ideas forward, I'm stating a fact that less ad money is spent on Android than Windows Phone.

thealexweb said,
Don't see you putting any ideas forward, I'm stating a fact that less ad money is spent on Android than Windows Phone.
Android is generally more about the phones than the OS - the ad money goes towards selling the phones themselves. For WP7 it's more about selling the platform. Sure, it's more ... but it's not as if Android has a tiny marketing budget.

Kirkburn said,
Android is generally more about the phones than the OS - the ad money goes towards selling the phones themselves. For WP7 it's more about selling the platform. Sure, it's more ... but it's not as if Android has a tiny marketing budget.

You're right. Most people who buy Android-based phones don't really care as much about the software as they do about the hardware. It's the other way round with WP7. Therefore it needs more marketing.

thealexweb said,
I wound how much money Android has had spent on it, a few million from Motorola's newspapers ads? That's pretty much it, it doesn't need advertising really, it can sell itself.

boohoo, android was released at a better time in the market, now that there are two big contenders, a third is going to have to push it's way in with it's full force.

I was kind of hoping that the release of wp7 would drive down the cost of the samsung galaxy x, but now I'm thinking of getting a wp7 phone after all. Really want to see how competitive the prices are versus the android offerings.

Kirkburn said,
Android is generally more about the phones than the OS - the ad money goes towards selling the phones themselves. For WP7 it's more about selling the platform. Sure, it's more ... but it's not as if Android has a tiny marketing budget.

You're absolutely right. In fact, of the people I know that have phones running Android, they've never even heard of Android... Nor do they recognize that other friends of theirs are also running versions of Android...

thealexweb said,
I wound how much money Android has had spent on it, a few million from Motorola's newspapers ads? That's pretty much it, it doesn't need advertising really, it can sell itself.

Right, with Verizon advertising DROID every night.

They could spend 2 Billion dollars, the fact is customers like me have now settled with Android and would take a lot to budge from it after buying so many apps etc.

Microsoft are just too late to the party, this should of been ready a year ago before Android took off as it's done now.

Exosphere said,
They could spend 2 Billion dollars, the fact is customers like me have now settled with Android and would take a lot to budge from it after buying so many apps etc.

Microsoft are just too late to the party, this should of been ready a year ago before Android took off as it's done now.

Indeed, because people never change phones after they buy one and they certainly don't choose a platform that might just be better suited to their needs once they've chosen. </Sarcasm>

People change their minds all the time and WP7 offers quite an interesting interface, so you might be surprised.

Exosphere said,
They could spend 2 Billion dollars, the fact is customers like me have now settled with Android and would take a lot to budge from it after buying so many apps etc.

Microsoft are just too late to the party, this should of been ready a year ago before Android took off as it's done now.

Over two thirds of people who have cell phones do not have a smartphone yet so I don't see how it's "too late to the market." Plus people get new phones every couple years so there's always a possibility of someone making a new platform and bringing it to market.

Exosphere said,
They could spend 2 Billion dollars, the fact is customers like me have now settled with Android and would take a lot to budge from it after buying so many apps etc.

Microsoft are just too late to the party, this should of been ready a year ago before Android took off as it's done now.

Sorry. I can never take someone who cannot even spell 'should have' properly.

Ahhh, why are some people so negative when it comes to this stuff, always saying **** like it is too late to enter the market. Here are some examples that some programs/companies entered late in the game, but are doing fairly well. Back in the days when the netscape browser had a huge market share, was it to late for IE to enter? Also what about when IE eventually had like 90+ % marketshare, did it stop Mozilla from coming out with Firefox? Heck look at google with there chrome browser, didn't they join the browser wars, wouldn't it have been to late for them? what % are they at now 6 or 7%? This is only the browser we are talking about, look at all the other products out there like back in the days when nintendo and sony dominated the video game scene and xbox had 0% market share was it too late for them to enter? Saying something like it is too late to the market or will fail, etc just shows how weak minded that person really is

Exosphere said,
They could spend 2 Billion dollars, the fact is customers like me have now settled with Android and would take a lot to budge from it after buying so many apps etc.

Microsoft are just too late to the party, this should of been ready a year ago before Android took off as it's done now.

I love it when people base a market theory on their own preference, even better when that preference is one of such non importance as 'what mobile OS do I prefer right now' - brilliant, your obviously destined to work for a big market forecasting company when you grow a brain!

Ultravires said,
Ahhh, why are some people so negative when it comes to this stuff, always saying **** like it is too late to enter the market. Here are some examples that some programs/companies entered late in the game, but are doing fairly well. Back in the days when the netscape browser had a huge market share, was it to late for IE to enter? Also what about when IE eventually had like 90+ % marketshare, did it stop Mozilla from coming out with Firefox? Heck look at google with there chrome browser, didn't they join the browser wars, wouldn't it have been to late for them? what % are they at now 6 or 7%? This is only the browser we are talking about, look at all the other products out there like back in the days when nintendo and sony dominated the video game scene and xbox had 0% market share was it too late for them to enter? Saying something like it is too late to the market or will fail, etc just shows how weak minded that person really is

What are you talking about? In your rant you can even say that Apple was late to the party as Windows Mobile has been out since early 2000, and look they succeeded!!

It is important when you release a product, look at Xbox classic that got released a bit too late, and PS2 dominated that generation. and MS responded with beeing first to market with its 360...

Also when you release something late you have to bring something new to the table, and not bring something that has flaws the iPhone had when it was released 2007... and anyone arguing otherwise please say any reason one would buy a WP7 instead of Closed-but-with-many-apps-iPhone or Open-on-the-rise-Android ? The 2D monochrome colorscheme?

Exosphere said,
They could spend 2 Billion dollars, the fact is customers like me have now settled with Android and would take a lot to budge from it after buying so many apps etc.

Microsoft are just too late to the party, this should of been ready a year ago before Android took off as it's done now.

I don't think there's such as thing as "settled" when it comes to the smartphone market, given that most people are on contracts that expire on a regular basis.

Sure, it might take a lot to get someone to change phones *right now*, but as contracts expire and people have the option to renew or go for something else entirely, maybe *then* they'll will take a serious look at the alternatives. At least that's how *I*'d approach it.

I'm pretty sure Microsoft is in it for the long haul. A lot can happen within a few months...it wasn't too long ago, the iPhone was basically untouchable. You're praising something that didn't even exist less than 2 years back.

dannyCage said,

What are you talking about? In your rant you can even say that Apple was late to the party as Windows Mobile has been out since early 2000, and look they succeeded!!

It is important when you release a product, look at Xbox classic that got released a bit too late, and PS2 dominated that generation. and MS responded with beeing first to market with its 360...

Also when you release something late you have to bring something new to the table, and not bring something that has flaws the iPhone had when it was released 2007... and anyone arguing otherwise please say any reason one would buy a WP7 instead of Closed-but-with-many-apps-iPhone or Open-on-the-rise-Android ? The 2D monochrome colorscheme?

Actually, I think you misunderstood what was being said. Your points only added to this. I interpreted this as saying it's never too late and people who say it is before the product is out are being small-minded about it and I agree.

There have been plenty of game changers that come in late. Hopefully MS has learnt from it's mistakes with regards to the smartphone market, I think they have and will succeed, as for Kinect (I still prefer Project Natal) I think this is a huge win.

How many families chose the Wii for it's casual gameplay when the main gamer would've been happier with an Xbox, I'm thinking specifically of families with dads like me, in the 24-35 age bracket that have a budget to work with?

Now they don't have to make the choice when it comes to a new gaming system, they can have a hardcore gaming machine that has more than the potential for family/friends game night.

Exosphere said,
They could spend 2 Billion dollars, the fact is customers like me have now settled with Android and would take a lot to budge from it after buying so many apps etc.

Microsoft are just too late to the party, this should of been ready a year ago before Android took off as it's done now.


From your logic, the rest of the world will move on to a new and better platform when it becomes available, but you are still stuck on old and busted.

Halo games get more than 100 million spent on advertising alone.

I guess it's a sure way to make sure they don't fail on release and are given a chance among the masses. If they don't bite you can be reasonably sure your product isn't good enough.

Couldn't Microsoft have produced a baton or a di*** for those who absolutely need to have something wrap their fingers around?

tooshpz said,
Couldn't Microsoft have produced a baton or a di*** for those who absolutely need to have something wrap their fingers around?
They did, it's called an XBOX controller ...

This is starting to sound like speculation to me, 3 days till WP7 launches in Europe and Asia, where is evidence of this money being spent? Maybe Steve B did get his full bonus after all?

I think it was expected that they will spend as much as this.

But people won't be able to say that Microsoft spent more money on marketing than they did on development, because we know that they spent even more on that (correct me if I'm wrong).

Recon415 said,

-1 You don't tell CarlDilone what he can and can't do.


-1 You don't tell Recon415 what he can and can't do.
It was a joke before someone jump on me.

I think they are seriously going to a hole in some of the other offerings. Especially the PlayStation, I don't think the new lightbulb controller is going to be as popular as this.