The computer software giant presently celebrating its successful Windows 8 unveiling and launch may have other projects in the works beneath the radar.
According to the Wall Street Journal, Microsoft is now working with component suppliers in Asia to "test its own smartphone design." Sources say Microsoft is internally determined to steadily continue adopting the business model that has worked so well for Apple.
One person said that the screen of Microsoft's smartphone currently being tested measures between four and five inches. Apple's newest smartphone, the iPhone 5, has a four-inch screen, while Samsung's Galaxy S III phone has a 4.8-inch screen.
Just this past Monday, Microsoft chief Steve Ballmer refused to speculate on his company's plans.
"We're quite happy this holiday [season] going to market hard with Nokia," said Ballmer. "Whether we had a plan to do something different or we didn't have a plan I wouldn't comment in any dimension."