“Yes, Nokia the Finnish mobile device maker as we know it, is doomed for bankruptcy and reorganization. Many of us, of course, still refuse to see the writing on the wall and invest accordingly,” Kofi Bofah writes for Seeking Alpha. “Nokia, a one-time story stock, has been shockingly bludgeoned from $40 to today’s meager $2 bid that is a cut above the casino penny stock zone. On the road to zero, Nokia cheerleaders, such as Jonathan Yates, have championed this battered stock as the ‘Next Ford.’ Longs are quick to identify Nokia as a turnaround play and prospective receptacle for government and corporate bailout cash.”
“Despite its recent gaffes, Nokia still touts an impressive brand name and extensive patent portfolio. As Microsoft (MSFT) has quickly learned, however, a brand name and patented technology cannot stop the bleeding of a structurally damaged organization,” Bofah writes. “For Nokia shareholders, any cash infusion will prove to be a mere quick fix solution and distraction from the fact that this business is now a dinosaur. At this point, it is inevitable for corporate vultures to encircle headquarters, before Nokia inevitably declares bankruptcy and sells off scraps to the highest bidder.”
Bofah writes, “The 2007 Apple iPhone changed the game… In terms of a last-ditch effort to save the company, this Nokia Lumia project has degenerated into a complete fiasco. Today, the looming iPhone 5 release dominates the top end of chic, while Android phone makers slash prices to attract consumers who demand low-cost functionality. Severe losses, write downs, cost cuts, and layoffs are now the order of the day at Nokia.”
Read more in the full article here.
MacDailyNews Take: Revolutionary.
Apple’s new iPhone could do to the cell phone market what the iPod did to the portable music player market: crush it pitilessly beneath the weight of its own superiority. This is unfortunate for anybody else who makes cell phones, but it’s good news for those of us who use them. – Lev Grossman, TIME Magazine, January 9, 2007
Related articles:
Beleaguered Nokia implodes, taking Microsoft’s mobile dreams down with it – June 15, 2012
Beleaguered Nokia to axe 20% of workforce, close only plant in Finland; stock crashes – June 14, 2012
Microsoft’s Nokia Lumia says the best smartphone is Apple’s iPhone – May 14, 2012
Fox News reviews Microsoft’s Nokia Lumia 900 Windows Phone: ‘Disappointing’ (with video) – May 12, 2012
Beleaguered Nokia hit with class-action lawsuit over weak Lumia Windows Phone sales, deteriorating market share – May 4, 2012
Beleaguered Nokia dumps sales chief as Lumia Windows Phones flounder, promises more cost cuts after Q1 loss – April 19, 2012
Euro carriers: Beleaguered Nokia’s Windows Phone not good enough to compete with Apple iPhone or even Samsung phones – April 17, 2012
Mossberg reviews Microsoft’s Nokia Lumia 900, can’t recommend it over superior iPhone 4S – April 5, 2012
Phones: Nokia. Cars: No Kia.
My Kia Sportage says otherwise
But they can’t go bankrupt!
They are going to use Windows8 OS!
How can they fail?
Behold the power of Ballmer and the pig lipstick tech revolution.
Nokia needs to adopt Android and release an Android touch phone fast, just to keep it afloat while it works on its own OS.
Unfortunately Nokia mostly abandoned development of its own OSes (yes, they had more than one) when they adopted Windows Phone. That moment will be their great downfall. With luck, the guys who left Nokia with the intention of continuing MeeGo development will be successful. Symbian is pretty much now confined to feature phones.
Man, Microsoft really does destroy they partners every chance they get. To revive an old MDN meme, Nokia got “Played For Sure”(tm).
Nokia could survive with Meego or similar help.
I hear that Lumia is quite decent hardware but contaminated with Microsoft — another declining relic…
I’m not sure how you call the Lumina decent hardware when the specs are inadequate to run the next version of Windows Mobile. This phone is a dead end. That makes it a big fail.
wow.
but no surprise.
predictable path for anyone who claims to be an Apple-killer yet only cries overs spilled milk & self-destructs in stupidity.
once all-mighty God-like Nokia falls.
just as Microdough’s monopoly.
just as Big Blue God IBM (in PCs). now selling rugs & IT services.
just as Dull Dell. now selling more IT services.
just as RIMMjob.
just as Sony. only betamaxing out all.
just as all the others who know best about Big Talk. Not Walk Talk.
odd how all these 1000s of Apple killers die.
simple reason: you can only survive if you don’t even bother competing in Apple’s categories and invent your own “epic shit” instead of being a copycat MeToo™ machine.
Apple is its own economy.
so smart, so precise, so efficient, so easy, so ubiquitously powerful, all the naysayers claiming its doom, will soon have no competition.
Apple has not competition.
Apple’s sub products can be their own economy.
Apple is recession-proof.
Apple defies gravity.
show me 1 competitor that did the impossible: not just resurrect itself from bankruptcy (1996) but reach the stratosphere within a decade or by 2008.
all those Apple naysayers, haters, bashers, all those Apple killer producers…why is it that Apple is not just still standing but in heaven, whilst ALL you lot are doa?!
still you people find so many reasons why Apple will not just stop growing but fail. you believe all this because Apple has never failed lately and for 14 years?! you believe this whilst all the companies you bet on crumble 1 by 1? you believe all this as your rich claims are all hot air, as you’re poor, never amounted to anything of cultural significance, yet Apple is always right? you believe that Apple has no room to grow, yet all your nostradamian predictions fail and we should believe you not Apple that IS smarter than everyone else by proof?!
human stupidity is bottomless then.
irony: all Apple ever does is wanting to please us. give us the best that is humanly possible. so those of use who wish it ill, are ill ourselves. humans are self-destructively neurotic.
peace Apple.
whoever you destroy in your path, is an indirect consequence of your intelligence, their stupidity, on whatever level that may be, be it product, service, concepts, infrastructure, financially, vision-wise etc.
just as much as it is an indirect consequence of your sheer brilliance in customer-satisfied or Wanted products, not your greed, that made you rich – unlike the rest, who only produce with greed or market share in mind, instead of think of consumer’s feelings.
the Post-PC era means much more. just like Sexy is not skin deep, but internal, Apple’s Post-PC means you can’t suck but must blow (away) (real) people. If you ain’t got Gestalt + Zeitgeist, forget it! that is how you could beat or at least compete with Apple.
now tell us how you REALLY feel.
MS is the kiss of death
Nokia could be a good buying opportunity at $2 or less. Pick up a few thousand shares and then unload them when they inevitably get bought out.
They are definitely done as a serious player in the mobile handset business. Somebody will buy them however.
$2 sounds cheap but better wait –
It is safer to latch a ride on a star than catch a falling knife ….. An Nokia is falling!
Entertainment from the Way-Back Machine:
Tuesday, 28 November 2006
Responding to questions from New York Times correspondent John Markoff, … (Palm CEO) Colligan laughed off the idea that any company — including the wildly popular Apple Computer — could easily win customers in the finicky smart-phone sector.
“We’ve learned and struggled for a few years here figuring out how to make a decent phone,” he said. “PC guys are not going to just figure this out. They’re not going to just walk in.”
Apple has done so well with the iPhone that Interpol, the FBI and the CIA have registered the iPhone as an international serial killer.
Finnished? Owwwww.
The turning point was when they brought Elop in – a former Microsoft employee – and he decided to go only-Microsoft, rather than being like Samsung and hedge its bets with a few OS’s. If Nokia had taken a Samsung-like approach of doing both Android and Windows phones, they would not be in today’s dire straits. So the fate of a once-great company rides on the stupidity of one man, caused by Elop’s misguided links to Microsoft. I actually have thought all along that, if Nokia can ride out this year till the Windows 8 launch, then the momentum of Windows 8 could transfer to Windows phone sales. But that’s a long time to survive in the shark-infested waters without a lifeboat.
They threw away the chance to build their ecosystem. If they’d thrown money into Meego, built it around their hardware and vice versa, and provided incentives to developers to create some key apps they could have emerged as at least a minor player in the new marketplace. That could have translated into tablets, content distribution deals, all of the stuff that goes with modern mobile devices.
Instead, Elop ditched the lot and gave the ecosystem future away to a company that has repeatedly failed to deliver on its promises, and repeatedly turned over its partners.
Right now, Nokia should go back to making tyres. There’s nothing left for them in electronics. They blew it.
Insider info…
My nephew who was based in the uk with Nokia was moved to the US a year ago to sync MS and Nokia’s efforts. His ‘whole office’ was shut down last Friday and summarily made redundant before his reduncy plan kicked in!
Nice work Microshaft.