mic-nok-soft

What do you think of the Nokia Microsoft tie up?

I think its good for choice, and good for Win phone 7. But it looks like a disaster for very large parts of Nokia. I wouldn’t be surprised if Microsoft ended up purchasing whatever is left in 6 or 12m for peanuts. (NOK are already down 20% on the news)

I’m not convinced its a great move for Microsoft, although I’m not sure what other choices they had if they actually want to participate in the mobile phone market. Of course all of Nokias hardware competitors will be looking carefully at how close this tie up is before they decide which operating systems to invest in. I suspect they will be staying away from Win phone 7 in droves.

The whole thing looks a bit desperate to me, which I think is fair, for both sides.

On the plus side it does show how serious MS are on phones, and chucking a few billion at Nokia is somewhat reassuring. If, for example you were about to embark on a new business venture in windows phone software. (I’m not – are you?)

Are you planning a windows phone? a Nokia? (I havent had a Nokia since they went irrelevant somewhere in the mid noughties.)

cheers

simon

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5 Responses to “mic-nok-soft”

  1. Harlan Grove Says:

    Dunno about other parts of the world, but Nokia doesn’t seem to have much of a US presence these days (though my first cell phone was a Nokia, 12 years ago). I just checked our top 4 wireless providers’ web sites. Verizon shows 2 WP7 phones, no Nokia phones (even ‘feature phones’). AT&T shows 5 WP7 phones and only 1 Nokia phone. Sprint shows no WP7 or Nokia phones. T-Mobile shows 3 WP7 phones and 4 Nokia phones.

    Maybe the smaller carriers make up for this, but it sure doesn’t look like Nokia has much of a presence to lose in the US. Unclear how MSFT benefits from this quasi-merger in the US.

    Actually, given the amount of cash MSFT has, and their preference for rent-seeking business ops, I have to wonder why they haven’t tried to acquire second tier wireless carriers rather than awkward coupling with phone set manufacturers. Can they really not see beyond per unit OEM license sales and/or patent royalties?

  2. Marcus from London Says:

    Shot-gun marriage. The bride needs to cease its haemorrhaging phone sales while the groom is looking for a quick way to infiltrate the market with its platform.

    The analogy quickly falls apart when trying to figure out who the disgruntled, shot-gun wielding father is.

    While my first phone (many, many moons ago) was an NEC P3 (a.k.a. the brick) and while I’ve had a couple of Nokias, I haven’t had one in years.

  3. Bob Phillips Says:

    When I last worked for a company we always had Nokias. They were good solid phones, but that was all they were. I have no idea whether Nokia do any type of smartphone, and when I look at that market I don’t even think of Nokia – for me that tells me everything, they are history.

    I heard the Nokia CeO yesterday saying that they are in a very difficult position, do they quietly fade and die, or make one last glorious gesture and go out with a bang. He sounded as if he thought the game was up.

    As always, as with browsers at the start, as with Yahoo, as with SharePoint, as with the cloud, I can see absolutely no logic Microsoft’s approach.

  4. Harlan Grove Says:

    Maybe it’s the apps market. Apple may be the only vendor capable of maintaining a sufficiently large apps collection exclusive to its own hardware and OS. Android is the other major apps market.

    Unless Nokia had plans for an imminent pad/tablet device (and it seems pretty clear it didn’t), that may explain the death of Symbian. It ain’t Apple, so a solo vendor apps market wasn’t viable.

    But that means Nokia is betting everything (OK, other than a retreat to going after the dumb phone market) on WP7 apps catching on. I just checked MSFT’s site, and I can’t escape the dreaded word Zune. If MSFT is parading it’s biggest consumer mistake as the gateway to WP7 apps. Why not nickname WP7 Edsel?

  5. Harlan Grove Says:

    Apropos of nothing, I just saw this in another IT blog’s comment.

    Apple is like global warming. No matter what happens it’s the cause.

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