The Nokia Acquisition (post comments and questions here)

[rodan01]

Guys, I didn't understand 2 things.. I know that microsoft only bough a part of nokia but.. :

1- Why nokia can build phones with it's name on it exactly on 2016? (why this date? since they're from microsoft) and how could they move to android since they're from microsoft now?

2- I don't get this jolla company, could someone explain to me what's the relation between nokia and jolla?

Sorry for my stupidness, just trying to understand..

I believe this a great/big deal, smartphones are today's biggest role on the market, and microsoft wants to make part of it, at least for me, it signed this today when it bought nokia.. I think they're going to dive now as they can to get market, and nokia teams will continue under microsoft's hood, which is a good thing, since it has a big pocket and the head guys on nokia still continue, meaning that we will see GREAT phones in the future..

nokia needs microsoft money and microsoft needs nokia to improve on smartphones market.

Once the deal is done and finances are normalized, Nokia will buy a troubled Android OEM with a fraction of the $7 billion and then make a call to their old key executives of the smartphone unit to leave Microsoft and comeback to Nokia. In 2016 we will see the first Nokia Android phone.

 

[Reflexx]

The very last thing I needed to know.

Hooray!

 

[Reflexx]

Once the deal is done and finances are normalized, Nokia will buy a troubled and Android OEM with a fraction of the $7 billion and then make a call to their old key executives of the smartphone unit to leave Microsoft and comeback to Nokia. In 2016 we will see the first Nokia Android phone.

And why would Nokia want to return to a business that they had an extremely hard time in? But starting from an even tougher position?

I see them doing cool R&D stuff and selling the tech to all the handset makers.

Maybe some of those unbreakable/flexible screens. Or other stuff.

And I actually truly believe that they can make HERE as big a name in location services as Google. Maybe even bigger.

 

[bryantest]

and

seriously

Who at Nokia will want to be evaluated under this kind of system??

Microsoft CEO Steve Ballmer retires: A firsthand account of the company’s employee-ranking system. - Slate Magazine

 

[pengfoong]

Nokia produces phones for several budget range (520, 620, 720, 820, 920, 1020). Microsoft don't produce a lot of choices in their products.
520 and 620 is very budget friendly. Microsoft products aren't that budget friendly (compared to similar products from other manufacturers).

MS being a giant, have very slow progress.
Nokia's life depended on Lumia. They are desperate. That is why we get so many great firmware and app updates.
Now that MS is buying Nokia, the phone manufacturing arm is not desperate anymore. How this turns out is still yet to be known.

 

[rodan01]

And why would Nokia want to return to a business that they had an extremely hard time in? But starting from an even tougher position?

I see them doing cool R&D stuff and selling the tech to all the handset makers.

Maybe some of those unbreakable/flexible screens. Or other stuff.

And I actually truly believe that they can make HERE as big a name in location services as Google. Maybe even bigger.

Because they are good, have the patents, cash, a strong brand, and they didn't sell because they wanted to.

The only strategy that is showing signs of improvements for Windows Phone is sell cheap phones under the cost for a couple of years until the platform reach the critical mass. But Nokia was going bankruptcy with this strategy, the next quarterly report will show this. The plan A of adopting WP failed and plan B was out of reach for Nokia, so they sold the unit accepting the two year ban. But for a business that is bleeding cash they got a good price because they became a key asset to Microsoft. The last 6 months should had been like a chess game between the two BoD.

With Android they don't need such a big pockets to build an ecosystem. They can sell a lot of Android phones in countries where the brand is strong. Microsoft kindly and for free will keep the brand alive until Nokia returns.

Why not switch to Android in 2014? Because Nokia would have burn all their cash in until the deal with Microsoft ends and of course $7 billion for a 2 year ban in which the can reorganize and develop the new phones is a really good deal.

Elop, the Trojan horse, thinks he did the great movement, but the Nokia BoD could laugh at the end, what if Nokia sells more units than Microsoft in 2016?

 

[Ymanish]

Is nokia worth 7 billion only??? Even skype acquisition was of 8 billion....somebody explain plzzz

 

[astraith]

Back in 2011, when Nokia decided to go All In Windows Phone, I decided that this is the best thing possible. Remember, Google was purchasing Motorola Mobility, and companies where coming out praising Google in public, but worried behind doors. Google has done well, making Motorola it's own company really and Google making phones with other companies, like the Nexus 4. That ended up well, for Google, however this is entirely different.

Microsoft is becoming a OEM. They didn't buy a small company. I mean, if they bought Kyocera, it would be different. They are small, and not a huge player. Nokia is one of the pioneers of the market. A beast, like Motorola was. HTC, Samsung and even LG aren't praising Microsoft like everyone did when Google bought Motorola. They now have to wonder, do they compete with Microsoft on their own turf ... try to dethrone the person MAKING Windows Phone ... when all of these companies are ALL READY on the fence on which platform to support? I think we will start to see less and less support from these companies, and Microsoft will have to mold it's own future.

However .. Nokia and Microsoft all ready had this. Now, Nokia and Microsoft being together, they will be able to build better products. Nokia can help Microsoft to deliver some basic features customers want -- help build a better Xbox Music App -- and help get more developers to make apps for Windows Phone.

In the end, I think this is a great move for Microsoft. It's not good if they wanted to gain the trust of other OEM's. However, I think they understand developing your own phone is a better way to be successful.

 

[smoledman]

I have absolute faith Microsoft will try like heck to make the most of this. They might fail, but it will be a spectacular failure.

 

[Anup256j]

Is nokia worth 7 billion only??? Even skype acquisition was of 8 billion....somebody explain plzzz

:shocked: :shocked: :shocked: :shocked:

 

[DennisvdG]

Is nokia worth 7 billion only??? Even skype acquisition was of 8 billion....somebody explain plzzz

They only bought a part of nokia and ofcours sadly nokia is not what it was ten years ago, but let's hope this acquisition helps them get on top again

 

[dw852]

Should I wait and see what's gonna happen before I buy 1020 at the end of the year?

 

[4ny0n3]

Does MS acquiring a big chunk of Nokia mean anything to app exclusivity for Lumia devices? Does it mean that Vine, Path and any other exclusives will make it to handsets made by the other OEMs?

 

[wustlmike19]

Gonna wait, I think

 

[Loco5150]

Why would Nokia, who just sold off all of their ability to manufacture on a large scale and sell hardware in hundreds of markets, choose to buy a phone division again? Especially one that doesn't have anywhere near the competitive strength and maturity?

This is very simple, it is much much easier to start from 0 and build it up from scratch. Changing the direction of a big and heavy operation is very difficult as we have seen, Nokia was loosing money with their devices.

However Im not sure do they need to buy Jolla, its possible and time will tell, but a friend of mine pointed out, that at NSN (he used to work there) they have all 4G dongle technology already. So would they even need Jolla to come back to this space?

 

[Loco5150]

One thing no one has not mentioned, is the fear I had for Nokia regarding an upcoming release. And by that I obviously mean the upcoming RT tablet. Announcing that, would have had a negative affect on Nokia stock surely. Poor sales of Surface and Win8 RT give 0 confidence to investors and I was already thinking that its a crazy move from Nokia to announce a product like that. Even if they would have been able to move decent amout of units in a long run, the first response from the market would have been VERY negative.

Now it makes all the sense. MS wants to push the RT and it is not such a big thing anymore.

 

[rianash]

I just hope that Nokia will release some new lumia phones (725, 825, else?) before the deal is finalised in 2014. Just to show that Lumia (as Nokia product) is still here and exist to support the brand.

What I'm afraid of is that some people (not well informed, I presume) will be against buying Lumia fearing that it is a dead end product.

For the informed, we know that MS will still support WP8. But (may be) for the mass, what they think is Nokia = Windows Phone (>80% Lumia share among WP handsets help this proposition). And when they see Nokia is bought, they may think Nokia (=Windows Phone) is dead.

I hope that's just my pessimistic thinking. I really love my Lumia with Windows Phone. I think it's the best combination to fight Droid and iOS dominance.

Only time will tell..

 

[eugie]

Ok,,more employees and more production team. increase more budget to come to support nokia lumia Windows phone

 

[rockstarzzz]

Once the deal is done and finances are normalized, Nokia will buy a troubled Android OEM with a fraction of the $7 billion and then make a call to their old key executives of the smartphone unit to leave Microsoft and comeback to Nokia. In 2016 we will see the first Nokia Android phone.

if nokia go with android then it will be good for nokia

very bad wp can not do anything

android is best for phone

no one can race with android

android is no. 1 (os)

I like how dreams are always endless. No matter how many times people wake us up, we still dream.

One take home message from this acquisition is - Nokia was happy selling its 150 years worth of hardwork and reputation to Microsoft than put that buggy, ugly, malware, advertisement loaded, data selling OS called Android on its handsets.

 

[arvinxi]

Will there be any amber-like updates for Lumias?