The Nokia Acquisition (post comments and questions here)

[ohgood]

the people-that-knew-this-was-coming just laughed all the way to the cayman islands - oops, i meant 'bank'.


goodbye nokia phone, hellllllllo microsoft windows mobile division ultimate touch interface exlusive ultimate for business WITH OFFICE (R) phone !


it will be a nice cover for turning lawyers loose on anyone that has 'infringing patents' anyway. bye nokia, it's been swell.

 

[halamadridkimi]

Why not, they can in all their two years gain much more money from nsn and here, and with buying Jolla sailfish ( nokias pervious enginers) they can once again come to smartphone battle, I'm sure the NOKIAS COMEBACK will get alot of people buy their phones, and they even could make windows phone/android phones if they want, Nokia brand will not be forgotten so fast

 

[gsquared]

It makes little sense really, Microsoft bought Nokia from its overseas cash horde and it put zero dent in the value of the company. That is just a kneejerk reaction from stupid investors.

BINGO!

Be strong when others are afraid. Otherwise stated "Be greedy when others are being generous." I'll be adding some more MSFT stock to my holdings.

 

[hopmedic]

The best thing about this is that no longer can Android whiners predict that Lumia hardware will be running Android one day... HA!

 

[boo516]

The market for Microsoft has been very bad, MSFT plunged 6% this morning with NOK going the opposite direction about the same percentage.

 

[rockstarzzz]

Based on my layman logic about stock volatility...
In an M&A, the buyer's share price tend to slide downward while the seller's share tend to glide upwards. Nothing abnormal really ��

The market for Microsoft has been very bad, MSFT plunged 6% this morning with NOK going the opposite direction about the same percentage.

I guess it's normal as pointed out. But what I don't understand is MSFT has shouted out that these are coming from their offshore accounts and hence 1-2% plunge made sense, but 6% and beyond is just an over reaction. Perhaps this is from the people thinking MSFT has got a toy it don't have batteries for. As always, people NEVER have faith in MSFT. It's just the image and hence if I was Steve, I would pay $3B more and add a clause "Own Lumia branding for feature phones AND SMARTPHONES for a decade".

Bet my life things won't be the same Microsoft is no longer that Microsoft i knew (in software)

the people-that-knew-this-was-coming just laughed all the way to the cayman islands - oops, i meant 'bank'.


goodbye nokia phone, hellllllllo microsoft windows mobile division ultimate touch interface exlusive ultimate for business WITH OFFICE (R) phone !


it will be a nice cover for turning lawyers loose on anyone that has 'infringing patents' anyway. bye nokia, it's been swell.

This thread is by far my favourite thread of the week. I like to see familiar faces rising from nowhere. It will be a fun thread, right guys, riiiiiight?

 

[inteller]

Nokia after two years can come with android phones or whatever smartphone OS, Microsoft has not bought Nokia brand, but I think Nokia will buy Jolla and make their smart phones available q1 2016.. I love Microsoft and all but I really don't like Nokia to be dead, Nokia is awesome, I hope Nokia rises again as their own brand and name.

Nokia as maker of anything won't exist in 2016...maybe just a shell company that holds patents.

 

[inteller]

BINGO!

Be strong when others are afraid. Otherwise stated "Be greedy when others are being generous." I'll be adding some more MSFT stock to my holdings.

I'll be adding BBRY as soon as the "we are selling" afterglow wears off. They will be bought next.

 

[a5cent]

Okay, checked Bing Finance right now, and this is what I see.

NOK- Up 38%
MSFT- Down 1.4%

Any explanation for the movement in the Microsoft stock?

The price drop for MSFT makes sense if you believe that WP is a money sucking distraction with no hope of ever becoming popular or successful. Anyone with that position will despise this transaction, in which MS spends even more money on an already wasteful endeavour (and potentially much more when it fails completely two or three years from now and MS sells the entire division for scraps). Within the investor class, that is the predominant position. Most of these people feel the same way about Xbox, as that division has also cost MS more than it has earned them.

While we may see a lot of potential in this deal, most people, particularly those that feel more comfortable judging balance sheets than buying into a technological vision for the future, will only see MS taking on more risk in a market segment where they are already failing. Investors hate risk. Risk is what has been suppressing Nokia's stock value, all of which is now on Microsoft's shoulders.

 

[rockstarzzz]

The price drop for MSFT makes sense if you believe that WP is a money sucking distraction with no hope of ever becoming popular or successful. Anyone with that position will despise this transaction, in which MS spends even more money on an already wasteful endeavour (and potentially much more when it fails completely two or three years from now and MS sells the entire division for scraps). Within the investor class, that is the predominant position. Most of these people feel the same way about Xbox, as that division has also cost MS more than it has earned them.

While we may see a lot of potential in this deal, most people, particularly those that feel more comfortable judging balance sheets than buying into a technological vision for the future, will only see MS taking on more risk in a market segment where they are already failing. Investors hate risk. Risk is what has been suppressing Nokia's stock value, all of which is now on Microsoft's shoulders.

I doubt Xbox has cost Microsoft more than its revenues. Surely, it has demanded more investments but the returns have been ever increasing. Microsoft Q3 FY13: Xbox division revenue up 56% yoy | VG247 - 56% YoY increase in revenues for Xbox.

This transaction has got a massive patent licensing portfolio AND hardware manufacturing facility that Microsoft previously did not have. Also Elop. - for that price if as a share holder I cannot see how it is lucrative to be a part of Microsoft, I MUST sell it out and buy Apple.

 

[a5cent]

MSFT plunged 6% this morning with NOK going the opposite direction about the same percentage.

Ehm, Nokia is up 30% right now. Nokia just experienced their largest single day surge in stock value. Ever.

 

[tissotti]

I did not read it like that. Microsoft is getting the trove of mobile device patents...even the ***************************s here said that Microsoft will be a mobile patent juggernaut now.

God damn people are so confused here.

1. Microsoft bought Nokia's Devices &Services business. This includes half of Nokia's workforce and 7 factories around the globe, plus more.
2. Nokia owns its patents and name. It licenses both to Microsoft for 1.4 billion euros. Patent license is for 10 years.
3. Nokia name stays to Nokia. Nokia can use Nokia brand on a mobile products again in 2016. Probably to shield them for Nokia immediately buying Jolla, going for Android and putting Nokia brand on them.

Nokia keeps owning NSN, HERE and Advanced Technologies. that form 50% of Nokia's yearly revenue. Advanced Technologies include Nokia's patents and R&D work.

Our Advanced Technologies business will build on several of Nokia’s current CTO and Intellectual Property Rights activities.Advanced Technologies will explore new business opportunities through advanced research, development and concept products in areas such as connectivity, sensing and material technologies, as well as web and cloud technologies. At the same time, Advanced Technologies plans to continue to build Nokia’s patent portfolio from this innovation and targets to expand its industry-leading technology licensing program, spanning technologies that enable mobility today and tomorrow.

Ehm, Nokia is up 30% right now. Nokia just experienced their largest single day surge in stock value. Ever.

Nokia closed +33% in its main market, OMXH. And why not. They essentially keep all the profitable parts of the company and have net cash of over 10 billion euros. They essentially become engineering house, like they were in mid 90's with the creation of GSM standard.
1.74 billion euros worth of Nokia stock changed hands today, nice.

 

[a5cent]

I doubt Xbox has cost Microsoft more than its revenues. Surely, it has demanded more investments but the returns have been ever increasing. Microsoft Q3 FY13: Xbox division revenue up 56% yoy | VG247 - 56% YoY increase in revenues for Xbox.

This transaction has got a massive patent licensing portfolio AND hardware manufacturing facility that Microsoft previously did not have. Also Elop. - for that price if as a share holder I cannot see how it is lucrative to be a part of Microsoft, I MUST sell it out and buy Apple.

You can't judge just by looking at a single quarter. Furthermore, revenues are not profits. If you are loosing money, you can make a lot more revenue and still be loosing money. At the end of the day, profits are the only thing that matter.

Report: Microsoft's Xbox division has lost nearly $3 billion in 10 years - Neowin

 

[avigyan]

What on earth will happen to services like Nokia Music, Pro Cam and the like? I just hope they don't become accessible to other OEMs for they are the results of Nokia's efforts and I would hate to see other OEMs enjoying them just like that. Also what about Nokia specific updates like Amber? Nothing like that will probably come in the future. I really hope now that the Amber release takes place safely without it getting scrapped.

 

[hopmedic]

What on earth will happen to services like Nokia Music, Pro Cam and the like? I just hope they don't become accessible to other OEMs for they are the results of Nokia's efforts and I would hate to see other OEMs enjoying them just like that. Also what about Nokia specific updates like Amber? Nothing like that will probably come in the future. I really hope now that the Amber release takes place safely without it getting scrapped.

Microsoft is buying devices AND services.

 

[Henhill691]

Excerpt from the Nokia Corp To Sell Devices & Services Business To Microsoft (Transcript) I found @ NOK - Nokia To Sell Devices & Services Business To Microsoft Transcript - Page - 2 - Earnings Impact

The Nokia windows phone momentum has made windows phone the fastest growing mobile platform with 78% year-over-year growth. Every quarter for the past eight quarters, more customers have activated windows phones than in the prior quarter. Microsoft is building momentum, but they still have a low share today. Nokia ships well over 200 million phones a year, the vast majority of those are mobile or feature phones that get sold for prices as low as say $25 and are often the first connection with technology that people in many places in the world have with any kind of communications or information technology device

 

[rmichael75]

I really feel sad.. without NOKIA there is no reason for me to get a MS phone. I fell like i have lost my identity today. I dont know what phone to get. I was in this for NOKIA. without Nokia, i dont think i will get a MS phone. I am really speechless today.

I really feel that ELOP did this to nokia. I am not saying sinister motive and all. HE ran Nokia to the ground. I dislike that man today.

BTW what happens to all the patents like the Pureview ones?. Does MS get it as well as all their R&D stuff?

 

[fatclue_98]

Good Lord I've never seen so many Chicken Littles! This is a win-win situation for Windows Phone. It's not like Leo Apotheker is heading this buy-out. I see Elop as another Alan Mullaly - look at what he's done for Ford. Microsoft needed a manufacturing arm to keep other OEMs honest. Apple is software and hardware, Google has Moto and now MS has Nokia. Judging by past experience, MS has the highest quality manufacturing arm in the business with Apple a close second.

 

[tissotti]

I really feel sad.. without NOKIA there is no reason for me to get a MS phone. I fell like i have lost my identity today. I dont know what phone to get. I was in this for NOKIA. without Nokia, i dont think i will get a MS phone. I am really speechless today.

I really feel that ELOP did this to nokia. I am not saying sinister motive and all. HE ran Nokia to the ground. I dislike that man today.

BTW what happens to all the patents like the Pureview ones?. Does MS get it as well as all their R&D stuff?

Like I already mentioned above, MS will license Nokia's patents for 10 years. Nokia owns its own patents and the revenue from those patents (500 million euros yearly).

Nokia will keep NSN, HERE and Advanced technologies.

Our Advanced Technologies business will build on several of Nokia’s current CTO and Intellectual Property Rights activities.Advanced Technologies will explore new business opportunities through advanced research, development and concept products in areas such as connectivity, sensing and material technologies, as well as web and cloud technologies. At the same time, Advanced Technologies plans to continue to build Nokia’s patent portfolio from this innovation and targets to expand its industry-leading technology licensing program, spanning technologies that enable mobility today and tomorrow.

And don't be sad about this. It essentially cuts the non profitable part of Nokia and makes it profitable with over 10 billion euros of net cash. Will Nokia makes phones again? Maybe, but it can use Nokia name on its mobile devices again in 2016.

 

[avigyan]

Microsoft is buying devices AND services.

That is exactly my concern. At a point when MS itself showa least concern about phones, it will not allow Nokia to retain its control. It is really concerning.