Windows Phone 7 launch, dwarfed by Android and iPhone, looks to be ...

Microsoft is said to be spending $100 million on the Windows Phone 7 ad campaign, and pulled out all the stops for a glitzy product launch yesterday. But a market research source says that only 40,000 phones were sold the first day, dwarfed by the 200,000 Android devices Google activates each day, and by the 600,000 first-day pre-ordres of the iPhone 4. At this rate, Microsoft will never catch up.

TheStreet.com reports that:

Contrast that with the iPhone 4, which had 600,000 pre-orders , and with Android phones, which Google says are activated at a clip of 200,000 per day.

One report said that the HTC HD7 Windows Phone 7 sold out after one day . So how can the platform be a dud the first day, but also have a phone sell out on the first day? Because of component shortages such as those used in touch screens, t here is expected to be a shortage of Windows Phone 7s . Before the launch in the U.S. there were shortages in Europe.

So Microsoft faces the worst of possible worlds right now --- slack demand, and potential shortages for any models, like the high-end 4.3-inch screen HTC HD7, that become popular.

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