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Old June 17th, 2012, 03:52 AM   #1 (permalink)
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Default Nokia is in big trouble

Nokia's Problems Haunt Microsoft - Yahoo! Finance

Nokia Corp. warned Thursday that its cellphone business is quickly deteriorating and that it will cut 10,000 workers, a setback that threatens partner Microsoft Corp.s mobile aspirations.

The companies bound themselves together last year in a last-ditch effort to compete in a smartphone market dominated by Apple Inc. and Google Inc. Now, Microsoft faces the possibility that the company responsible for two-thirds of its mobile software shipments may not be strong enough to give it influence in mobile computing.

Unfortunately, I can't find a link to the whole article without subscribing to WSJ, but some of the highlights are:

-"Nokia has lost more than three-quarters of its market value since Chief Executive Stephen Elop arrived in September 2010 and decided to bet the company on phones powered by Microsoft's operating system."

-"Its market value is now at $8.8B, 92% lower than where it stood when Apple released the iPhone and just above the price Microsoft paid last year for Skype."

-Nokia for the first time accounted for less than half of the total cellphone market in its home country of Finland.

This is sad. I think Nokia would have done well as an Android manufacturer. Of course, this could have been in Microsoft's and Elop's plans all along. Now M$ can buy Nokia for a song and try to compete using the Apple model of making the hardware and software both in house.

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Old June 17th, 2012, 07:46 AM   #2 (permalink)
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Yep, I wouldn't be at all surprised if Microsoft's evil plan is to wait till Nokia's stock hits bottom, and then buy the company for a song. The question is whether Nokia will have enough marketshare or reputation left to make it worth anything.
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Old June 17th, 2012, 08:33 AM   #3 (permalink)
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You still see a lot of Nokia phones here in China, but's it's nearly always cheap candybar style phones(dumb phones), but that style of phone is starting to go away very quickly.

Nokia and Microsoft are trying to market Win Phone handsets. They're certainly spending a packet on saturation advertising, on TV, on the subways and on buses. Problem is the things are so damn expensive. It's Apple iPhone 4S style pricing, i.e. they seem to be going for the high-ticket luxury end of the cellphone market. Nokia and Microsoft are NOT names one readily associates with high-ticket luxury products, like Apple. Also this is in a market that's now dominated by low priced homegrown Android phones.
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Old June 17th, 2012, 09:03 AM   #4 (permalink)
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Over here the Nokia Lumia is much cheaper than the iPhone, even though it costs more to make.

http://mynokiablog.com/2012/06/01/infographic-nokia-lumia-900-vs-iphone-4s-costsmargins/
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Old June 17th, 2012, 09:32 AM   #5 (permalink)
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Quote:
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Over here the Nokia Lumia is much cheaper than the iPhone, even though it costs more to make.

Infographic: Nokia Lumia 900 vs iPhone 4S costs/margins. : My Nokia Blog
Locally, the Lumia 800 (not 900) is 5,000 RMB (about $780 USD} on China Unicom, and that's with a stiff mandatory two year contract. A 16GB iPhone 4S is 5,500 RMB (about $860 USD), again that's with a mandatory two year China Unicom contract. Luxury pricing indeed! So it's slightly cheaper than the iPhone 4S, although the Lumia 800 is lower specced than the 900. I've not seen the 900 here yet.

Just to give an idea about local pricing and what the competition is, a 16GB Samsung/Anycall Galaxy S2 is 4,000 RMB (about $630 USD), unlocked and NO mandatory contract. Samsung/Anycall Galaxy phones seem to be very popular here now, I've seen them being used by loads of people

Most phones here are sold without contract, the iPhone is the notable exception, and many people have low cost pre-paid China Mobile no commitment plans, including myself.
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Old June 17th, 2012, 09:55 AM   #6 (permalink)
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I wouldn't be surprised if an Android company buys them out and has owner ship over all phones, rebrand the phone and run Android, the phone market is a monopoly now, 2 big companies, apple and google, for those 2 companies to stay at the top they need to buy the competition or make them go out of business and that's exactly what they are doing (well...google is) to Nokia
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Old June 17th, 2012, 10:20 AM   #7 (permalink)
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Quote:
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I wouldn't be surprised if an Android company buys them out and has owner ship over all phones, rebrand the phone and run Android, the phone market is a monopoly now, 2 big companies, apple and google, for those 2 companies to stay at the top they need to buy the competition or make them go out of business and that's exactly what they are doing (well...google is) to Nokia
Probably elsewhere, but that's not the case here in China. Google has basically nothing to do with Android here, and the iPhone is rather a luxury product, although I see a lot of older iPhone 3s around. I'm absolutely sure there's more Android phones in China than any other country in the world now, just about all of them without Google.... Probably China Mobile now has more subscribers than the population of the USA and Canada combined
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Old June 17th, 2012, 10:29 AM   #8 (permalink)
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Quote:
Originally Posted by Android311 View Post
I wouldn't be surprised if an Android company buys them out and has owner ship over all phones, rebrand the phone and run Android, the phone market is a monopoly now, 2 big companies, apple and google, for those 2 companies to stay at the top they need to buy the competition or make them go out of business and that's exactly what they are doing (well...google is) to Nokia
I don't think Microsoft would ever let that happen. Microsoft has bet its mobile farm on Nokia in the same way that Nokia has bet the farm on Microsoft ... and Microsoft knows that if Nokia's Windows Phone strategy dies than Microsoft's hopes of having a mobile presence are also dead. So Microsoft will do whatever it takes to keep Nokia going, even if it means buying the company -- which is what I think they'll have to do.
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Old June 17th, 2012, 02:06 PM   #9 (permalink)
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Nokia is a joke. Their idiot CEO just said 2 months ago that dual and quad core phones were a waste of battery and time. Now they are planning a dual core Windows phone...idiot
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Old June 17th, 2012, 05:03 PM   #10 (permalink)
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I guess Victor Gundotra wasn't lying when he tweet two turkey do not make an eagle..

The Many Brilliant Layers Of Vic Gundotra's Nokia-Exposing, Microsoft-Bashing Tweet | TechCrunch
 
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Old June 17th, 2012, 11:26 PM   #11 (permalink)
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It's a shame actually. There was a time not all that long ago when they made the best phones on the market. Stable, reliable and absolutely bulletproof. They offered features and options that nobody even dreamed of previously and going back to the 2600 and 5100 series phones they really revolutionized how mainstream consumers thought of wireless phones. It's a shame how a few wrong turns and a couple poor leaders could drive them to the brink of collapse.
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Old June 18th, 2012, 12:18 AM   #12 (permalink)
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It's a shame actually. There was a time not all that long ago when they made the best phones on the market. Stable, reliable and absolutely bulletproof. They offered features and options that nobody even dreamed of previously and going back to the 2600 and 5100 series phones they really revolutionized how mainstream consumers thought of wireless phones. It's a shame how a few wrong turns and a couple poor leaders could drive them to the brink of collapse.
Totally agree. Its crazy to see how fast things can turn. This should be a warning to Google and other companies on top of their game never to get too cocky or complacent because it can all fall apart if you're not careful. We're seeing the same thing happening to Blackberry right before our eyes, dying in slow motion.
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Old June 18th, 2012, 03:59 AM   #13 (permalink)
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The main problem is Nokia has nothing so called “new” I n the market. It ahs products but no one wants and this is killing Nokia.
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Old June 18th, 2012, 05:55 AM   #14 (permalink)
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The main problem is Nokia has nothing so called “new” I n the market. It ahs products but no one wants and this is killing Nokia.
They tied themselves to the Windows Phone anchor and that appears to have sealed their fate. They didn't want to be "just another Android manufacturer" and that arrogance led them to ruin.
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Old June 18th, 2012, 06:31 AM   #15 (permalink)
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So if Nokia is going down the pan, as they seem to be, I wonder what it's siblings Nckia and Nokla are going to do?


Start making yet more knock-off iPhones.... yawn!
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Old June 18th, 2012, 03:35 PM   #16 (permalink)
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^
lol
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Old June 18th, 2012, 05:11 PM   #17 (permalink)
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nokla....wow lmao
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Old June 22nd, 2012, 04:10 PM   #18 (permalink)
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Hmmmm forgive me for crappy manners and lack of thingies but what is a "Nokia"???

Sigh!

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