Despite Microsoft keeping mum on the Surface Phone, it is believed that the highly anticipated smartphone is really in existence and may be released soon.

There is no denying that the Surface Phone is one of the most-talked-about devices. With numerous rumors attached to it for more than a year already, it is apparent that it is one of the most-anticipated devices despite its existence not having been confirmed yet.

However, according to the latest reports, the Surface Phone is not just a figment of the imagination as, allegedly, Microsoft is, indeed, working on the device. Reportedly, Pegatron, the Taiwanese company behind the production of the Surface Studio, has already started working on the Surface Phone, which is said to come in three variants: Consumer, Business, and Premium.

While Microsoft has yet to officially confirm the Surface Phone, the mobile device may really be more than just a rumor. After all, although Microsoft CEO Satya Nadella did not specify the Surface Phone, he revealed that Microsoft has not yet thrown in the towel as far as the mobile phone market is concerned.

"We will continue to be in the phone market not as defined by today's market leaders, but by what it is that we can uniquely do in what is the most ultimate mobile device," Nadella told the Australian Finance Review in November last year.

Rumors claim that the alleged Microsoft device will pack the latest Qualcomm Snapdragon 835 processor and will boast of 8 GB of RAM paired with 512 GB internal storage. The Surface Phone is also said to sport a 5.5-inch screen display and will come with a 21-megapixel main camera and an 8-megapixel selfie snapper.

Meanwhile, although some believe that the Surface Phone will be released at the ongoing Mobile World Congress (MWC) 2017, other sources believe that it will not be the case. However, it does not mean that the device will not see its first daylight this year as, allegedly, Microsoft will release it in fall this year.

Rumors also claim that Microsoft may pit the Surface Phone against Apple's equally highly anticipated iPhone 8, which is said to be the best iPhone ever as it will mark the brand's 10^th anniversary.

However, as the Surface Phone is rumored to run Win32 apps, tech pundits believe that it will, indeed, give Apple and Android devices a run for their money.