Yes, things are only getting worse for window mobile 7. First they suffer from delay after delay, then win tons of friends in the dev community by saying that basically all window mobile apps will have to be rewritten for winmob7 (and lets bypass the cumbersome process to even set up to write for the phone ( I bailed on it)) and today another arrow finds its mark.
HP has announced it will not build any phones for Window mobile 7. Not this is not a major surprise given HP bought the webOS, but HP was Microsoft’s largest customer. That does not mean its over for Windows, they say they have other major manufacture in the pipline, but with Android really picking up steam, HP pushing WebOS and even Samsung getting in the game with their bada OS, which for a 1.0 is not too bad, I can only see MS as a minor player from here on out.