Microsoft's last offering in the smartphone segment was 2016's Microsoft Lumia 950. At that time, strong rumors making rounds online claimed that the Redmond-based tech firm will oust the Lumia brand in favor of a new lineup on Surface products.

Microsoft has rolled out iterations for both the Surface Pro and the Surface Book since then; however, there's no word yet about a Surface Phone. But if rumors running rampant online are anything to go by, Microsoft is currently working on its new smartphone bearing the moniker Microsoft Surface Phone 2017.

The purported smartphone has been subject to a slew of leaks and rumors in the past; with some even claiming that the Microsoft Surface Phone 2017 release date is set for Oct. 2016, where the software maker will unveil its latest smartphone in an exclusive launch event. However, Microsoft did not mention anything about the highly anticipated smartphone and announced the new Surface Studio and the Surface Book (i7 version) instead at an event back in October.

After swirling all sorts of speculations around the Microsoft Surface Phone 2017 release date, the rumor mill started churning thoughts about the upcoming smartphone's alleged specs. While some tech pundits believed it will boast an Intel chip, others hazard a guess that it will feature an i7 chip. In addition, these speculations about the Microsoft Surface Phone 2017 coming with an Intel chip stemmed from Intel's recent licensing deal with British SoC design firm ARM.

Regrettably, the said licensing agreement is not expected to emerge any time before early 2018. In other words, the Microsoft Surface Phone 2017 will not be powered by an Intel chip, according to TheBitbag. Meanwhile, the social media is brimming with news, reports, and updates surrounding the Microsoft Surface Phone 2017 smartphone. Several reports on Twitter even mention that a brand new Lumia upgrade has been approved.

Microsoft Surface Phone updates: New patent for a Lumia upgrade approved?

— Claudette Kalwat (@ClaudetteKalwat) December 9, 2016

But recently, the Microsoft official store website displayed an image of the Microsoft Lumia 640 XL.

Clearly, Microsoft has no plans to give up on their efforts to penetrate the smartphone segment. On a recent interview with Australian Financial Review, Microsoft chief executive Satya Nadella further cement reports that the company is prepping to launch their most ambitious smartphone yet.

During the interview, Nadella also admitted it was a mistake on the company's part to try and imitate features that other leading phone makers were offering --- rather than coming out with their own unique features.