There are many rumors floating around regarding Windows Phone 8 code-named "Apollo" due out in the fourth quarter. Some are speculating that the new mobile OS will abandon the Windows CE kernel (Windows Embedded Compact) in favor of the core NT kernel as with Windows 8. None of those speculations can be proven thus far. Interesting speculation, because if it were true, then there could potentially be one App Store for both platforms, similar to Apple, but on to what we do know. **Update**: It was recently revealed that there is some truth to these statements, that Windows 8 phone will share some of the same code base and kernel as Windows 8 for desktops.
What is certain is that ultimately Microsoft wants an overall union of software from platform to platform. This dates back to last July when the president of Microsoft's Windows Division made this proclamation that ultimately there would be a single ecosystem for PC's,phones and tablets. It was later stated by NVIDIA CEO Jen-Hsun Huang, that he expected Windows 8 to eventually run Windows Phones apps. The major goal of "Apollo" will be to allow phone manufacturers to create higher-end devices to compete with others like the Samsung Galaxy S3 with more powerful dual-core and higher processors.
Windows Phone 8 will run Windows Phone 7 apps
Many rumor mills out there had it stated that Windows 7 Phone apps would probably be incompatible with Windows Phone "Apollo" 8 apps. But Brandon Watson a Microsoft representative stated that Microsoft was pretty clear that apps of today would work in Windows Phone 8 during the Mix11 keynote. The keynote can be found here. Next, its time to Tango...