Microsft is believed to be working on a new Windows Phone 7 OS, that will have Nokia exclusive capabilities. Some parts of the WP7 OS, will not be available to other manufacturers sources have said.
In February, Microsoft and Nokia announced a deal whereby the two Companies would take on Apple iOS and Google Android Smartphones using the Windows Phone 7 OS.
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The new Nokia Windows Phones 7 are due to be launched late in 2011.
However an expanded version of the OS is set to be shown on new Nokia models which will be revealed in February 2012 at the World Mobile Congress in Barcelona.
The OS will include “several new software upgrades, exclusive functions for Nokia phones and software that will not be available for other manufacturers who licence the OS” the European Nokia sources said.
On Friday Nokia CEO Stephen Elop told Reuters that Nokia has begun work on the first Nokia smartphone supported by Microsoft software. Elop said a Windows-based Nokia phone could be produced the end of 2011.
Elop also took the time in the Reuters interview to pour cold water on the speculation that Microsoft wants to own Nokia. Elop, a former Microsoft executive before moving to Nokia last September, said there was no strategic reason why Microsoft might want to buy Nokia.