After years of competing in the smartphone industry, Microsoft decides to take on a niche market instead, focusing on sophisticated business-oriented customers. Microsoft hopes that the Lumia 950 and 950 XL will appeal to customers and establish a new following.

Powered by Windows 10 and Microsoft's Continuum technology, the company's new flagship devices are not lagging behind in terms of specs and functionalities, not to mention that the OS is compatible across multiple platforms. They support 4K videos and are fitted with liquid-cooling technology. Also, their ports are USB-C, a cable that will replace all USB interfaces in the near future.

"The phone that works like your PC," Microsoft said about the Lumia 950.

While there's nothing wrong with its new hardware, Microsoft just can't seem to stay ahead – or even go head-to-head with other topnotch devices – because Android and iOS dominate the touchscreen market.

The problem is that consumers prefer iOS and Android because of their established features and functions. On the other hand, Microsoft has been trying to claim market share for about five years already, even making a (failed) purchase of Nokia that eventually led Microsoft to lose a lot of money.

"With the consumer today, if you are starting with less than what's available on iOS or what's available on Android, you are dead in the water," Kirt McMaster, Cyanogen CEO, told IBT.

Microsoft needs to develop user-focused features to compete in the hardware market, but it seems its priority right now is its OS, the cross-platform Windows 10 which is undoubtedly a generally well-received OS. Though it's still a noteworthy innovation, the cross-compatibility function of Microsoft's OS just doesn't have enough appeal to convince consumers to switch over to its Lumia phones, as it doesn't exactly bring any features that average users can appreciate.

Microsoft won't be backing down anytime soon, though, and this move might be its best course of action to maintain its presence in the industry. Also, a lot of Lumia fans are here to stay, so Microsoft isn't exactly doomed. It seems the tech firm's best bet is to zero in on its target audience instead of going for a wider market share.

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