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Microsoft Surface Phone release date, specs update 2016: Device to look for another processor?

The Microsoft logo displayed at the Microsoft Ignite technology conference in Chicago, Illinois, May 2015 | Reuters/Jim Young

The Microsoft Surface Phone has been in the rumor mill for quite some time now. Many people are wondering if the American software giant will release the handset this year. According to the latest reports, the highly anticipated smartphone may not be revealed in 2016.

There are speculations suggesting that the development of the device highly depends on Intel's latest processor. As of the moment, Intel is said to delay the production of their latest Atom processors, which caused a huge impact on Microsoft Surface Phone's progress.

Win Beta reported that the specific Atom processor could be the only one that can sustain the superior specs of the rumored Microsoft Surface Phone. It will be hard for the company to change the architectural plan of the device to make it sufficient for other processors.

Nonetheless, the publication added that Microsoft still has a few more options to consider if they really want to have a 2016 release of the smartphone.

If rumors prove to be true, Microsoft may decide to release the Surface Phone in 2017, which will ruin their rumored plan to compete with the upcoming Apple's iPhone 7. The next generation of the highly popular iPhone series is speculated to come out this year.

Meanwhile, Terry Myerson of Windows recently hinted during his interview with The Verge that creating a new smartphone is not part of their action plan this year.

"We're fully committed to that 4-inch screen, there will be a time for it to be our focus, but right now it's part of the family but it's not the core of where I hope to generate developer interest over the next year," Myerson said. "There's no lack of recognition to realize how important that form factor is, but for Microsoft with Windows and for our platform it's the wrong place for us to lead."

For now, all fans can do is wait for the company to finally make the smartphone official. All these reports coming out with regard to the Microsoft Surface Phone are merely just rumors and speculations.