Software maker, Microsoft is planning to release a new version of the Windows Phone program in new handsets this fall.

The new releases is part of the company's plans to compete with rivals including Google and Apple. The Windows Phone 8 will be based on the same core software as the new Windows 8 operating system for personal computers and tablets. This means that the platform will work on different devices at different pricing rage.

Research firm IDC has said that Microsoft has a 2.2 percent share of the mobile-phone operating system market during the first quarter of the year. The mobile phone operating system is heavily dominated by Google and Apple.

The Redmond, Washington-based company is focusing on a range of areas to compete better with its rivals. It recently released two models of its upcoming tablet computer named, Surface. Steve Ballmer, the chief executive officer of the company announced the new tablet at an event in Milk Studios in Los Angeles. He said that the device is part of a whole new family of device being developed by the company.

The company believes that producing the hardware as well and developing software for a device will allow it to compete better with rivals like Apple.