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Microsoft, Edcon join forces

Nicola Mawson
By Nicola Mawson, Contributing journalist
Johannesburg, 03 Dec 2014

Microsoft and Edcon - the giant that owns Edgars, CNA and Jet - this evening announced a partnership that will see Edcon's in-house brand extended to Windows devices.

The software giant, which recently launched the first Lumia that does not carry the Nokia branding, has shifted its strategy and is offering zero-rated software on devices under nine inches, and has unveiled an eight-inch tablet and a 10.1 two-in-one device for R1 499 and R2 999, respectively, through mass retailer Makro.

Its strategy was today expanded with the announcement of a partnership with Edcon, which will see the store owner launching the Verssed W1, which runs on Windows 8.1, from 15 December, at most of its outlets for just under R900.

Colin Baumgart, GM of Edcon's cellular group, explains the partnership was a natural step forward as the retailer had previously seen good demand for handsets with Microsoft's OS, such as the Lumia. He adds the company is keen to offer more affordable devices to remove the barrier to entry for smartphones, and the devices can be bought through in-store credit.

Edcon, which has more than 10 million card-carrying customers, launched its Verssed range this September in a bid to offer cheaper smartphones to South Africans to fill the need from consumers to go online, says Baumgart.

Baumgart adds the current Verssed range boasts two smartphones, and two tablets, which run on Android.

Microsoft's consumer channel group executive, Melanie Botha, adds Microsoft is using the partnership to extend the reach of its devices, and the move is part of its previous bids to become more accessible to a wider audience, such as its move to zero-rate its products on devices smaller than nine inches.

Botha adds the partnership is starting with one device, the W1, which features a four-inch screen, runs on Qualcom's Snapdragon processor, and has a front and rear camera. She notes more partnerships are in the pipeline.

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