The recent editions of Microsoft's Windows Mobile software have been criticised frequently and now the software giant has admitted that it "missed an entire generation" as a result.
Steve Ballmer, Chief Executive Officer of Microsoft, expounded in his perception that the company had failed to move with the times at the Worldwide Partner Conference.
He told delegates: "We really did miss almost a release cycle, but Windows Phone 7 which we had a chance to debut at the Mobile World Congress earlier this year has received really quite remarkable reviews."
However, Mr Ballmer was optimistic that Microsoft can recover and spoke of his pride in the Windows Phone 7 operating system (OS), which he claims will allow Microsoft to directly compete with its rivals.
He added: "I think we will give you a set of Windows-branded devices that people will be proud to carry at home."
It is believed that Windows Phone 7 mobiles will be arriving in the UK from September, which is quicker than many had predicted.
Microsoft will find itself in a much tougher market since the advent of Android and the continuing dominance of Apple's iOS, so Windows Phone 7 will need to live up to Mr Ballmer's expectations. And then some.