Just a week after software giant Microsoft announced its first major update to Windows Phone operating system code named Mango, comes Acer Windows Mango device.

The company showcased the device called Acer W4 at the ongoing Computex show in Taipei. The device is powered by Qualcomm MSM8255 Snapdragon processor at 1 GHz and boasts of a 3.5-inch WVGA capacitive screen with 480 x 800 resolution and a 5 megapixel camera with autofocus. Connectivity options include WiFi, Bluetooth 2.1 and quadband GSM support.

According to reports, the handset will come with 8 GB of internal storage. Recently, Microsoft Corp launched an update of its Windows phone software, hoping a host of new features will help it close the gap on smartphone leaders Google Inc and Apple Inc.

Microsoft said the update involved 500 new features, including Internet Explorer 9 as the mobile browser, Twitter and LinkedIn feeds integrated into contact cards, automated Facebook check-ins, and access to more than 17,000 downloadable applications.

Microsoft is banking on the new version of its phone software to get its recent alliance with Nokia off to a strong start. The first phones made by Nokia using Windows software are expected late this year or early in 2012.