The Phones: Microsoft has two new phones geared for social networking — the Kin One and Kin Two. They will be sold in the U.S. by Verizon Wireless. Prices have not been disclosed.

The Challenge: Microsoft is taking more control than usual over both the hardware and software of these phones. It hopes to grab the attention of consumers who might otherwise eye offerings such as the iPhone and phones running Google Inc.'s Android software.

The Prediction: Analyst Ken Dulaney thinks the Kins' success hinges on how inexpensively Verizon prices the phones and accompanying data plans.