As heard previously, the Finnish Mobile manufacturer Nokia was working on an Android unit, where Microsoft was busy experimenting a Surface based smartphone.
It was reported that, Microsoft was producing a number of Surface based smartphone prototypes. Also, according to the sources, Terry Myerson, Head of Windows, Windows Phone and Xbox Operating Systems was in charge of this Surface phone secret project. As suggestions arrive, Microsoft created these prototypes just in case whether Nokia will switch to Google's platform, as the Finnish was reportedly testing out Android for their devices or back off the deal with the company.
But the software company reportedly pushed back from their plans entering the smartphones industry, as the Finnish, Nokia has already dominated the Windows Phone market, which is now owned by Microsoft.
Source: THE VERGE, phone Arena