The rumor came from a line in the press release from the Redmond firm, which announced that Microsoft was selling its feature phone business to FIH Mobile and HMD Global – essentially cutting off a big part from the deal it struck with Nokia in 2013.
On the one hand, it's a triumphant battle cry from Microsoft, pointing out that it doesn't matter its exiting a declining featurephone market as it'll still be right behind the smartphone platform, and that's the reason it purchased Nokia anyway.
Well, that kind of makes sense anyway.
The heavily-rumored Surface Phone is in the offing, a high-spec device that Microsoft will concentrate its marketing efforts on in an attempt to replicate the success of the Surface tablet range that's turned into a billion-dollar line.
But Microsoft, if it does drop the Lumia line, should be commended for its bravery and agility – it's not giving up on Windows 10 Mobile despite its faltering performance, and pivoting the name to improve its chances is a great thing.
That said, there's still a market for the Lumia names on phones, if only just to differentiate between the high- and low-end handsets in Microsoft's portfolio – there's still a strong market for cheaper smartphones and Lumia is a better-known brand name than Surface in some regions thanks to the past performance of the 500-series phones.