“With the release of Windows Mobile 6.5 and its new Marketplace app store fast approaching, Microsoft has resorted to buying ads within iPhone apps to attract the attention of developers,” Prince McLean reports for AppleInsider.

Microsoft is “charging developers $99 per app submitted while killing off many existing WiMo titles and banning Java. Microsoft has reportedly approached some iPhone developers directly, offering them cash to port their iPhone apps to Windows Mobile,” McLean reports.

“In the most recent quarter reported by Canalys, Windows Mobile has fallen into fourth place globally with just a 9% share,” McLean reports. “Just a few years ago, Microsoft could claim nearly a quarter of the global market for smartphones. Now it can’t even claim that big of a slice of the American market. The US the market is now dominated by RIM and Apple, which own a combined 75.3% of the market. With its window of opportunity squeezing shut, new store rules that pinch off existing developers and crush competing stores are not likely to help Microsoft turn its game around.”

Apple currently has an “installed base of 50,000,000 devices for iPhone developers to reach,” McLean reports. “That has created a library of 75,000 apps, including over 21,000 games. It’s no wonder why Microsoft is working to get [developers'] attention.”

Much more in the full article here.