According to a recent Reuters article T-Mobile has decided to not to release a T-Mobile branded cellphone powered by Microsoft's Smartphone software. This is a huge blow to the Microsoft's advanced cellphone platform. Sendo also ditched Microsoft's software in favor of Symbian's mobile operating system earlier this year.

The smartphone device called the SPV was produced by Taiwanese manufacturer HTC, and launched last year by French mobile carrier Orange. Industry insiders said that T-Mobile experienced numerous software and hardware problems with the device during testing on its GSM/GPRS network. Therefore, they dumped it.

Portugese operator TMN has announced that it will offer a smartphone using Microsoft's software though a partnership with oil and gas company Galp Energia.