With competition in the business of smartphones getting fierce, companies are now developing innovative strategies to gain market share. Software giant Microsoft is willing to compensate web developers to make special applications for its Windows Phone 7.

The arena is set

Microsoft has always been at an unbeatable position in the computer operating systems market. But according to industry researcher-comScore, the case is not true in operating systems market for new smartphones.

In the operating systems market for new smartphones Microsoft holds the third position. Motion’s Blackberry is the market leader in smartphones platform with 41.7% of US subscribers in the month of May 2010. Apple’s iPhone holds the second position, but is far behind the first contender, holding just 24.4% share. Till now Microsoft’s Windows is enjoying third position with 13.1% share but it has to buck up to maintain this position, as Google’s Android is quickly gaining market share with 13% subscribers’ base.

Microsoft very well knows this fact and so it is encouraging developers to write applications for its coming Windows editions.

Microsoft’s say

Phone 7 software is in strong competition with Apple’s iOS and Google’s Android platform. A senior director at Microsoft released a statement stating that the company is currently investing large amounts of money to lure developers to understand the prevailing opportunity in the market. The developers are expected to offer resources integrating with the resources of the company in order to utilize those (resources) on Microsoft Windows smartphones platform.

Stock Market’s reaction

Following this news by Microsoft its stock on July 14 closed at USD25.44, a rise of 31 cents/ 1.2%. Whereas the peers, Google ended at USD491.34, a rise of USD2.14 cents/ 0.4%. Apple closed at USD252.73, rise of 93 cents/ 0.4%.

A newbie to join the competition

Google is planning to launch one more smartphone in its Android platform, with the launch of Motorola’s Droid X on Verizon Wireless Network. This smartphone will comprise of a 4.3-inch high-resolution display, 8 megapixel camera and a High Definition camcorder. This would be worth USD299.99. The phone will come with a two-year Verizon contract, but the carrier is presenting a USD100 mail-in debit card rebate.

Following this news Motorola’s stock ended at USD7.46, a rise of 25 cents/3.5% on July 14.