Microsoft?s update for Windows Phone could help it attract mobile application developers and build a stronger ecosystem.

The company's releasing Windows Phone 7.5, also known as Mango, which delivers more than 500 new features such as the organization of apps around groups of people. With apps such an important part of the success of a mobile operating system, Microsoft is taking a stronger position here to attract more developers to Windows Phone.

?We?ve seen a lot of similarities between a lot of the platforms,? said Josh Martin, senior analyst for WMS at Strategy Analytics, Newton, MA. ?It is getting harder to differentiate from an app perspective.

"Mango does a better job of integrating apps into the experience of the phone as opposed to inherently making them silos,? he said.

?By taking a slightly different perspective on apps, there is an opportunity for new types of apps to emerge for Windows Phone. This could potentially give it a differentiated position in the marketplace, which is what you need to compete.?

A step forward
Mango delivers a significant revamp of the Windows Phone operating system that has failed to capture a significant portion of the market since it was introduced in December.

New features includes the organization of information such as apps around groups of people; the ability to switch between text, Facebook chat and Windows Live Messenger within the same conversation; grouping contacts so the latest updates can be seen from the Start Screen and deeper social network integration.

A new approach to apps is one of the key differentiators here, with an eye toward integrating apps into the core experience of the phone. Users can get timely notifications and updates from apps from the Start Screen. Additionally, apps will surface as part of search results and within Windows Phone Hubs.

Even though Windows Phone has been well received by industry analysts, it faces a struggle gaining marketshare because it is going up against iOS and Android, which between them own the majority of smartphones.

Several new features help improve the user experience, per Ross Rubin, executive director, industry analysis at The NPD Group, Port Washington, NY. These include a better multitasking user interface as well as the ability to communicate more efficiently with different groups of friends and to start a conversation on Facebook and continue it via text messaging. 

?It is a step forward,? Mr. Rubin said. ?But, Windows Phone needs to have the handset developers deliver compelling phones and we need the carriers to offer more support to consumers.

?They done a good job of integrating some of the voice functionality ? this could be an interesting way to differentiate Windows Phone,? he said. ?The voice component is a really interesting complement to other features they?ve developed.?

Microsoft continues to invest in the Windows Phone platform as it looks for ways to take a bite out of Google?s and Apple?s market share.

Despite all the new features in Mango, one of Microsoft?s main hurdles going forward is educating consumers and  overcoming Google?s and Apple?s lock on the market

?Microsoft continues to have very low market share in the U.S. - it has been hovering at about 2 percent since the introduction of Windows Phone 7,? Mr. Rubin said.

?According to NPD?s Connected Intelligence research, we found that among consumers who are not interested in Windows Phone handsets, many just don?t know enough about it,? he said. ?There is an opportunity for Microsoft to step up education.?

Final Take
Chantal Tode is associate editor on Mobile Marketer, New York