NEW YORK (Reuters) - Microsoft Corp is set to unveil a new line of phones running its Windows software on Monday, as it attempts to pull back market share from Apple Inc's iPhone and Google Inc's Android system in the fast-growing market for multi-featured 'smartphones'.
The world's largest software company is hoping that the new phones, from handset makers such as Samsung, LG and HTC, will propel it back into the mobile market, which many see as the key to the future of computing.
The new phones, initially available on AT&T Inc's network, have already been shown off in prototype form, and are much closer in look and feel to Apple's iPhone, with colorful touch-screens and 'tiles' for easy access to e-mail, the web, music and other applications.
Some analysts say they reprThe market for multi-feature phones that allow users to e-mail, surf the web and play games, as well as have access to music and video is set to expand massively.
Gartner expects almost 270 million smartphones to be sold around the world this year, up 56 percent from last year.
In comparison, Gartner expects only a 19 percent increase in worldwide PC sales to 368 million units this year.
Microsoft, whose stock is trading at the same level it was eight years ago, has been struggling to find a footing in phones and mobile computing.
Its share price has fallen almost 20 percent so far this year.
Earlier this year, Microsoft yanked its Kin phone aimed at teenagers off the market less than three months after launch. There are still no signs of an imminent Windows-powered tablet device to counter Apple's hot-selling iPad.
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