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In the battle for smartphone market share, Microsoft has unveiled its brand new "Windows Phone 7." It's a bid to take on Apple's iPhone and Google's Android device in an increasingly lucrative industry.

Microsoft unveiled its new line up of Windows 7 phones at an event in New York City- hoping the new handsets win back market share from rival Apple's iPhone and Google's Android system.

The new phones will initially be available on AT& T's network in the US and then available globally through 60 mobile carriers.

Microsoft has unveiled its brand new "Windows Phone 7.

These smartphones have recognizable features like colorful touch screens and live tiles- for easy access to email, the web, music and other applications.

It's a good move- according to Michael Gartenberg of research firm Gartner.

Michael Gartenberg, Analyst of Gartner said "I think they are going to succeed with being competitive in the marketplace. For Microsoft to succeed doesn't mean Apple has to fail or vice versa. For Microsoft to succeed that means that they have to be relevant; that when the consumer is making the choice- it's in their decision list."

And Microsoft is playing up its strengths- like the successful Xbox 360. Users can play Xbox Live games on the phone.

Avi Greengart of Current Analysis:

Avi Greengart, Research Director of Consumer Devices, Current Analysis said "If you are an Xbox person this is almost an Xbox phone, your Xbox avatar translates over, your scores transfer over, and there will be some games that will play on both your phone and your living room."

But it's not just about the phones- many see the mobile market as the key to the future of computing- and Microsoft has to protect its turf- Windows is still the most dominant operating system used on computers.

Ross Rubin of NPD Group:

Ross Rubin, Executive Director for Industry Analysis of NPD Group said "It's really important for Microsoft because we are seeing these operating systems from Apple and Google become more and more powerful and start to move into new categories such as tablets that are starting to impinge on the functionality of PC's, which of course is really core to Microsoft's licensing business. "

Growth in PC sales is expected to be far slower than smartphones this year, a prediction not lost on Microsoft, who unveiled nine new phones in time for the holiday gift buying season.

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