Mobile phone giant Nokia posted a loss of $1.74 billion on Wednesday in its second-quarter earnings report. Overall sales for the one-time dominant company were down 26 percent year over year, while smartphone sales were down by a third in the quarter. However, if there is a bright spot in this report it is that it could have been much worse. In fact, this loss is actually less than expectations. And with a partnership with Microsoft that would have Nokia handsets use the Windows Phone operating system, Nokia could actually see a turnaround.
"Microsoft has not been successful in this wireless space over the last decade either, so maybe they chose the wrong partner."
...as so many of us insisted on February 11, 2011.
Mr. Elop denigrated his existing Symbian products that represented virtually all of their smartphone-related revenue, limited distribution of the MeeGo phone even as it was receiving rave reviews, and bet the company on an alliance with a company famous for failed alliances (remember Plays For Sure?) and with a remarkably consistent 10 year track record of failure in mobile (remember Kin?) that wouldn't ship its first product for almost a year.
So yes, Mr. Elop picked the wrong alliance in the worst possible way. But I can't help but wonder if Nokia's board made the actual decision - why else hire Mr. Elop in the first place?
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Glimmer of Hope in Nokia's Dismal Q2 Report
Posted by: Peter Suciu July 19, 2012 11:59 AMMobile phone giant Nokia posted a loss of $1.74 billion on Wednesday in its second-quarter earnings report. Overall sales for the one-time dominant company were down 26 percent year over year, while smartphone sales were down by a third in the quarter. However, if there is a bright spot in this report it is that it could have been much worse. In fact, this loss is actually less than expectations. And with a partnership with Microsoft that would have Nokia handsets use the Windows Phone operating system, Nokia could actually see a turnaround.
...as so many of us insisted on February 11, 2011.
Mr. Elop denigrated his existing Symbian products that represented virtually all of their smartphone-related revenue, limited distribution of the MeeGo phone even as it was receiving rave reviews, and bet the company on an alliance with a company famous for failed alliances (remember Plays For Sure?) and with a remarkably consistent 10 year track record of failure in mobile (remember Kin?) that wouldn't ship its first product for almost a year.
So yes, Mr. Elop picked the wrong alliance in the worst possible way. But I can't help but wonder if Nokia's board made the actual decision - why else hire Mr. Elop in the first place?