Microsoft buys Nokia, the second largest maker of cell phones

Subject: Chipsets | September 3, 2013 - 12:08 PM |
Tagged: microsoft, nokia, windows phone, purchase, billions

At a mere $7.2 billion, Microsoft just picked up all of Nokia's devices and some of their software in an attempt to streamline production and win market share from Apple and Android devices.  Nokia tends to be the manufacturer that people think of when they think of Windows phones, with HTC a close second.  The current market share of Windows phones is minuscule and for that matter so is Nokia's; what might not be clear from some of the stories you have been reading is that Nokia has a large share of the phones currently being manufactured.  As you can see from the Reuters graph below they are actually second only to Samsung in terms of manufacturing, this existing infrastructure may help Microsoft greatly as they structured as a software company ... Surface being the exception that proves the rule. 

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From Reuters

The Inquirer believes this could mean a resurgence of competing mobile OS designs, with Google owning Motorola it seems likely that Samsung and HTC are going to want to diversify their lineup of phones even though Google has suggested they will not provide preferential treatment to Motorola.  Microsoft may still provide licenses to HTC but with this major change you can expect the rumours of HTC developing a mobile OS to become verified as well as a lot more news on Tizen, Samsung's home grown OS.  Blackberry could be doomed at this point, with nothing unique to offer in the way of secure connectivity now that they have moved to ActiveSync and dated hardware they are reduced to a niche market consisting solely of those who want a physical keyboard on their phone.  This purchase is as painful to Finland as the death of BlackBerry will be for Canada.

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The other interesting part to this story is the return of Stephen Elop to Microsoft as he only left them in 2010, previously he headed their business software division.  You can follow the odds on his likelihood of taking the reins from Ballmer by following the link from this article; Stephen has tossed hardware across a room so he is certainly qualified.  If he did take over Microsoft it would signal a 'mobile first' mentality which might help sales of Win8 on mobile devices but would not bode well for the desktop users.  If he is not placed in charge of the entire company it would likely mean that we will see him head a mobile division while someone else handles a desktop OS.  That has not worked well for Microsoft historically, we shall see in the coming months which direction the company chooses.  Hopefully they will remember they sell a server OS.

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"MICROSOFT SURPRISED NO ONE on Tuesday when it announced that it picked up Nokia's devices unit and licensed some of its software for a cool £4.6bn in cash. While many see the deal as two struggling companies merging for a final shot at success, we think the deal should have Apple and Google worried."

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Source: The Inquirer

Nokia World's Largest Windows Phone OS Smartphone Vendor in Q4 2011

Subject: Mobile | February 26, 2012 - 03:08 PM |
Tagged: WP7, windows phone, smartphone, nokia, mobile, microsoft, marketshare

Last year Nokia and Microsoft announced a partner ship that would combine Nokia's hardware with Microsoft's Windows Phone 7 mobile operating system. Back then, the move by Nokia to abandon Maemo, MeeGo, and Symbian was not a popular one; however, it does seem to have worked out well for the company (despite some burned bridges).

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According to a new report by Strategy Analytics, not only have Nokia Windows Phone 7 devices proved a popular choice, but the company has managed to propel itself to 33.1% marketshare; a number that makes Nokia the world's largest Windows Phone smartphone vendor in Q4 2011. Further, the company shipped just under 1 million units in Q4 2011 while the market as a whole saw 2.7 million units shipped. That is a significant jump from the previous quarter where Nokia did not ship any units and the market as a whole shipped only 2 million.

  Vendor Shipments (Millions) Q3'11 Vendor Shipments (Millions) Q4'11 Vendor Marketshare (%) Q3'11 Vendor Marketshare (%) Q4'11
Nokia 0.0 0.9 0% 33.1%
Others 2.0 1.8 100% 66.9%
Total 2 Million Units 2.7 Million Units 100% 100%

 

While Nokia does not yet have majority share of the Windows Phone smartphone market all to themselves, they do have the most marketshare of any single vendor. The increased presence of Nokia helped the Windows Phone market as a whole see a total quarter over quarter growth of 36%, according to the report. Further, Director of Strategy Analytics Tom Kang noted that Nokia managed to snag most of it's marketshare from HTC who is also losing ground in the Android market to rival Samsung.

Neil Mawston, the Executive Director of Strategy Analytics determined that the Nokia Lumia WP7 smartphone series, and increased marketing and retail presence in Asian and European countries significantly helped Nokia grow it's marketshare.

Needless to say, Nokia management and shareholders are likely pleased by this turn of events. It will be interesting to see where Nokia is marketshare wise at the end of this year as their new Lumia series smarphones proliferate across the world. The full report is available here to Strategy Analytics clients.

Microsoft's CES Windows Phone Plan Reveal Leaks

Subject: Mobile | January 5, 2012 - 08:49 PM |
Tagged: windows phone, nokia, microsoft, CES

Leaks on products that are set to be released at CES are popping up all over the web, and it seems Microsoft's plans for Windows Phone 7 aren't immune. Paul Thurrott claims to be "in the know," in laying out the company's plans for the CES unveil. He says the information he has managed to acquire details the company's plans "for the US market only" and are to be officially revealed at CES 2012.

Microsoft will allegedly be releasing three LTE based Windows Phone 7 smart phones and one Verizon phone throughout the first half of the year. While not LTE powered, Verizon will be getting the Nokia Lumia 710, and will be available beginning April 2012.

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Also, the three LTE powered Windows Phone 7 smart phones include the Nokia ACE (a larger version of the Nokia Lumia 800), HTC Radiant, and Samsung Mendel. These three phones will all ship on AT&T before Q2 2012 is over. The Nokia ACE will ship on March 18th, 2012.

Have you played around with any Windows Phone 7 devices? Stay tuned to PC Perspective for more CES news!

PC Perspective's CES 2012 coverage is sponsored by MSI Computer.

Follow all of our coverage of the show at http://pcper.com/ces!

Lephone leaked by Lenovo

Subject: General Tech | December 1, 2011 - 11:23 AM |
Tagged: Lenovo, lephone, Android, windows phone

Lenovo is moving into BlackBerry's territory with several new mobile products, two phones and a tablet that can act as as phone.  The first phone will be running an older version of Android and bears the unfortunate name of Lephone K2.  The Inquirer reports that the other will be running Windows Phone OS though it would not be at all surprising if it ends up based on Win8.  This may really hurt RIM as they are currently the choice of smartphone for enterprise users; these same users are likely using a Lenovo as their PC.  With the already established place that Lenovo bears in the office, if they can create a decent phone that interacts with their Lenovo laptop or desktop, they could push RIM right out of the office.

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"CHINESE HARDWARE VENDOR Lenovo has unveiled not one but two smartphones, the Lephone K2 and an unnamed Windows Phone 7.5 Mango device.

The Lephone K2 is the Android device and will come with Android 2.3.5 Gingerbread, not Android 4.0 Ice Cream Sandwich. Details are very light on Windows alternative, apart from that it will run Microsoft's Windows Phone operating system and tip up in the second half of next year, according to PC Mag."

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Source: The Inquirer