People really don't understand Nokia. I keep hearing how their use of the Windows OS is a "boat anchor" and how it will doom their business. Those people don't have a clue. This is not a battle of operating systems, it's a battle of price points and that is the perspective from which you must judge Nokia's successes and failures.
Apple may sell 50 million phones, but that's really a drop in the bucket compared to the billions of possible customers. Most of those cannot afford an Apple product. Even with a lower priced iPhone, Apple will still not be able to service most of those customers. Research reports conclude that even a low cost iPhone will be too expensive for most. That leaves Android, Nokia and phones running proprietary operating systems for those customers. At that level, Nokia has nothing to do with Microsoft. It is their proprietary technology that drives those products. At Asha's lowest price points many of it's competitors don't even run Android, they run their own proprietary OS. Even if they run Android, they don't have the processing power to run the current versions. Google Asha 310 and tell me it that looks like an entry level phone. For the real bottom of the chain there's the Nokia 105 and 205. Try and find a competitor for those that runs Android. Competitors have names like Yezz Bono, Plum, Kyocera Brio, all running proprietary operating systems. Who's going to win that battle? Apple isn't even competing in this arena. What entry level phone can run their software?
Ignore all the fluff on the board and click-bait articles, those are just transients. This race isn't going to be decided in the next year or two, it's at least a decade long competition. Nokia has been in business for 147 years. They understand the concept of long term better than any of their competitors. If you are going bet on a marathon, you might as well pick the runner who's won one.
Also, lets not forget what made Apple so famous the second time around: Consumer enticements including: innovative hardware; unencumbered software; entertaining marketing; and a management philosophy that transcends present "profit" aspirations over its legacy potential going forward. Each one of these activities along with the price points and associations with the telco companies will define NOKia's success of failure as it did for Apple. Lately I am focused on the software aspects and am intrigued with the concept of an error-free application. That's not an easy thing to do..
Congratulations on one of the greatest factual articles on Nokia. They have without question the greatest portfolio of patents for Mobile phones, Smartphones, Tablets, Touch Screen, Texting, Mapping and many more technology mobile devices worth billions. They have spent on R&D around $70 billion and receives licensing fees for patents. There are still many companies that are infringing upon their patents. Eventually when they all pay a fair licensee fee, it should exceed 5 billion per year. Nokia I think shall be # 1 again in the world !
Sentiment: Strong Buy
Great post. This gets to the significant advantages Nokia has in their marketing mix.
Their product range is the most comprehenisive and is disruptive at the low end - as you point out. They also have the innovative force to compete at the high end and carry those innovations down the product line.
Their distribution is very well established, and global. Their pricing supports entry level but with a very high value product offering. What's remaining is to elevate promotion. That should take a nice jump with Verizon. The rest of the year (and beyond) is going to be exciting now that all the pieces are in place.
Sentiment: Strong Buy
I understand your point and applaud your entire post. This is not directed towards you but for the naysayers of Windows OS. Windows OS is updating and getting better and better. I can't say it any other way. Nokia now needs to focus on a tablet. Tablets will take over the PC market, and they can't be late for that party.
Good point. They're already lagging the market on the tablet, but they can innovate. I'm writing this response on my Macbook but realize that i haven't used it for two weeks and it used to be every day.
Sentiment: Strong Buy
I'm gonna make a poster of this post and place it on a wall in my man cave!
A beautiful, factual and well-worded post.
I will proudly display it next to my Johnny Carson, Clint Eastwood, Telly Savalas and Evel Knievel posters!