Analysts not impressed with Nokia’s incoming CEO Elop

Apple Online Store“Stephen Elop, Nokia Corp.’s newly appointed chief executive, may bring with him software expertise and a U.S. address book from his time at Microsoft Corp., but he doesn’t tick all the boxes, analysts said Friday,” Aude Lagorce reports for MarketWatch.

Advertisement: The iPad. With a 9.7″ touch screen & amazing new apps, it does things no tablet PC, netbook, or e-reader could. Starts at $499. Shop Now.

“While his U.S. perspective will be valuable to Nokia, which has struggled for years to establish a footprint in the world’s biggest smartphone market, Elop lacks any visible ties to the operators that control the distribution network in the country,” Lagorce reports. “Part of the reason why Nokia never managed to achieve more than a marginal presence in the U.S. is because it has failed to establish strong relationships with the likes of Sprint-Nextel, AT&T and Verizon Wireless, a joint venture of Verizon Communications and Vodafone Group. Elop’s appointment will do little to address that issue.”

“Another preoccupation is Elop’s lack of experience in hardware design. Though the success of Apple Inc. with the iPhone is proof of consumers’ thirst for better and simpler operating systems, the look and feel of a new handset remain crucial to its success,” Lagorce reports. “‘Elop is a software engineer with U.S. experience and that is a positive. But it remains to be seen how well he will do on hardware devices. Engineers don’t have a great track record of designing attractive handsets,’ Neil Mawston, an analyst at Strategy Analytics, cautioned.”

Full article here.

MacDailyNews Take: eFlop. Overseeing a monopoly (Microsoft Office) is helluva lot easier than trying to turn around a mess like Nokia in a vain attempt to catch up to Steve Jobs. Nokia still makes horse buggies years after Apple introduced the spaceship. Maybe Nokia should concentrate on their specialty — crap margin, low-end, mechanical-buttoned candy bar cellphones — hope they can coast along on emerging markets while they try to figure out what businesses to try next (kitchen appliances? floor wax? breakfast sausages?) before the money runs out?

30 Comments

  1. Nokia has the hardware chops.

    It just sucks when it comes to software. Windows phone 7 will save the day. If Windows phone 7 won’t cut the mustard, salvation is just another name change away. Those Microsoft marketing guys are brilliant.

  2. There may be in a real head to head battle. I think Dell is thinking about going into the kitchen appliances, floor wax, or breakfast sausages before their money runs out in the next 2 years.

  3. I had a Nokia phone. Once. The hardwarwe was good for the time (late 90’s) but Nokia went downhill right along with Sony and for the same reasons… Too many fragmented model lines and dreadful interfaces.

    Think Elop will solve this? Not holding my breath.

  4. Nokia has ZERO focus. Think about it. Cnet lists over 200 different models of Nokia phones for sale. And how many OSes do they have now? Various flavors of Symbian, plus Meegoo and they also seem to be dabbling with MS. Their attempts at an app/game store (OVI) have actually been called by the press “a complete disaster.”

    They need to pick one OS and two or three standard phone models and make them decent. I.e. one touch screen phone, one slider phone and one candy bar phone. All those models simply confuse customers and screw up your logistical support. Then MAYBE, maybe something good could happen.

  5. OMG ChrissyOne, I didn’t think you were old enough to remember those days! Great line! And by the way, that company you are referring to, is now close to leaking red – and not transmission fluid. Although the economy hasn’t helped, a lack of vision regarding product, demographics and user interface has slowed them down seriously.

Reader Feedback

This site uses Akismet to reduce spam. Learn how your comment data is processed.