Louven reports, “The Finns stand with a market-leading share of nearly 37 percent, but the new competition from Apple and from BlackBerry-maker Research in Motion in the retail business has the giant duly concerned; especially in the high-margin smartphone business.”
Louven reports, “‘Technically, the Nokia phones were much better than the iPhone,’ said Carolina Milanesi, the market researcher Gartner. ‘But were too complicated to use.’ In the coming years, ease of use will decide success and failure, said Vanjoki.”
Louven reports, “Still, Vanjoki expects that, in the end, Apple will amount to little importance in the market. ‘The development of mobile phones will be similar in PCs,’ predicts the chief strategist. ‘Even with the Mac, Apple has attracted much attention at first, but they have still remained a niche manufacturer. That will be in mobile phones as well.'”
The full article via Google German to English translation is here.
MacDailyNews Take: With a “Chief Strategist” like that, it’s no wonder Nokia is hemorrhaging market share, euros, and employees like there’s no tomorrow; because, for them, there likely isn’t. This quote ranks right down there with beleaguered Palm’s then-CEO Ed Colligan who said in November 2006, “We’ve learned and struggled for a few years here figuring out how to make a decent phone. PC guys are not going to just figure this out. They’re not going to just walk in.” Ed presaged his company’s fate by disappearing into obscurity earlier this year. The quote for which Vanjoki will likely be best-remembered (you might as well just start chiseling now, headstone carver) has been iCal’ed for copious and gleeful future use.
[Thanks to MacDailyNews Reader “Karwa” for the heads up.]
Thank you for news
Apple is already moving beyond “smart phone”, so he may be correct.
Wow. Doubling down. Gutsy. Not smart, but gutsy.
I love the arrogance of certain types who just can’t seem to understand that their “old school” thinking is keeping them blind to the currents of change, either in business, technology or social behaviors. These mindsets are the easiest to defeat, as history has shown over and over… <shaking my head at the obvious here…>
That’s great! Because they are moving out of the niche player role in computers so they will move out in smartphones too!
LOL……. funny. Who wants to the be the market leader in unit sales at paper thin margins? Just wait for the end of that exclusive contract. They will be giving away Nokia’s sh*t for free…….. wait, they already do…….
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I get it. The Nokia guy is trying a Jedi mind trick.
“These aren’t the phones you’re looking for.”
“… These aren’t the phones we’re looking for.”
“But I am very confident that we now know what we must do, namely to build cell phones that are easy to use and that look good.” How do these guys get jobs? What kind of imbecile… oh well, if Nokia don’t go down there is no justice in the world.
A player in the niche called ” the only part of the industry worth bothering about financially” and owning most of it. I spose ignorant shareholders vote ignorantly on their board.They’ve been carried along so far on the flow, with no competition, selling tons of crap and now people are turning away. Wether Nokia make it or not, people like these need to be recognized and got rid of. Maybe a job in marketing… oh, that’s what he is, sorry… ignore that. Just that the tone of the article implied he was important! hehe.
or maybe the iPhone will end up like the iPod a niche player with the majority of the of the market
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@pdxflint
I agree. I just do not understand it. What works is right in front of them. I think it would take a miracle, maybe Steve Jobs could go to Nokia’s headquarters and actually layout the business plan for them. I guess the problem is, time isn’t on their side. Instead of dismissing the iPhone as a flop, they could have started a ground up project 2 years ago. They may have had something to compete right now. Instead, they are running in circles talking the same smack they were 2 years ago.
In sports, they tell players and coaches not to say anything the other team can use as “bulletin board” material – statements that will help motivate the other team to reeeeeaaaalllly want to beat you but good.
Apparently, Apple’s competitors haven’t quite figured this out yet…
Wow so much hate…
I thought you apple fanboys like being in the niche?
The thing is, Apple doesn’t MIND being a “niche player”, just as long as the “niche” is being the biggest player in the most expensive section of the market. They might not be quite there, quite yet, but they are certainly well on their way. Especially in the “profits” part.
So, yeah. Nokia, you can have the bulk of the cell phone sales. Just let Apple have the largest share of the top 10% of those phones by value. Oh. Wait. They don’t need your permission for that. They just took it. Just pretend to have S.A.D., good ’til Spring.
Does Steve really need any EXTRA MOTIVATION??
Thank you! Really!
Prior to the iPhone, they obviously thought the best way to sell phones was to create phones that are “hard to use and look bad”.
NOW the largest phone maker has it all figured out – at the end of 2009.
Nokia is the next Sony.
I wonder what Apple’s market share would be if they exclude corporations that buy/lease 500 cheapest possible computers?
I’d bet that for home computers, Apple would be close to 50%….not a niche.
The main reason these other companies come out and talk down the iPhone is because corporate law in many countires forbids directors doing anything that will knowingly drive down the share price of their company. Anyone who is a member of the board of of Nokia (or Microsoft, or RIM) is forced to talk down the iPhone, even if they think it is great.
Right, guys, niche market but very PROFITABLE niche market, so BOOYA, Nokia!
Not the same as being a niche player, Apple redefined the market. Vanjoki: “we now know what we must do” — observe Apple’s success w. design, copy same.
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‘Even with the Mac, Apple has attracted much attention at first, but they have still remained a niche manufacturer. That will be in mobile phones as well.’
Hmm, it seems like I’ve heard this argument before. Let me think…
Oh, right! This is the exact same prediction that was made by every MP3 player manufacturer about the iPod! It’s the exact same prediction that was made by every online music retailer about iTunes! “Because Apple failed to take over with the Mac, all their other efforts will of course follow the exact same pattern.”
We all know how that turned out.
Seriously, if the Nokia guy actually thinks that Nokia is destined to defeat Apple for no other reason than that they’re Nokia and Apple is Apple, I’d start shorting their stock now. Big time.
——RM
Sauce for the goose.
given the fact that iPhone sales are growing faster than iPod sales and that the iPod has 70% marketshare, Anssi Vanjoki should start looking for a new career. He can’t research or strategize his way out of a box if he ignores trend data.
Needless to say, if Nokia’s “chief strategist” really believes what he just said, he should be fired immediately for extreme incompetence and/or stupidity.
“Wow so much hate…”
What an overused word! As in politics, the new definition of “hate” is: anything I disagree with.
Try to be a little more creative. Buzzwords are like paper currency, it becomes worth less every day.
CRAPple will remain a niche player in any market regardless where they at.
http://www.bing.com When it comes to decisions that matter, Bing & Decide