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.

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“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. Adding a little clueless Ballmer MS flavor via Elop to Nokia won’t staunch the bleeding there.

    I am still a little amazed how quickly Google responded to the iPhone with Android back when, though I’m sure when the CEO of Google was on the board at Apple and first saw the iPhone he immediately must’ve secretly rallied his troops. Can’t board members be sued for this kind of self-serving traitorous activity? It’s one of the few times Steve Jobs didn’t see that one coming or woulda drop-kicked Eric out on his googly butt.

  2. @C1
    Yeah, I haven’t owned a Harley since. Went through a series of sport bikes including Suzuki GS and the original Honda Interceptor (awesome bike in ’82). Currently own Honda 919 now, but the main ride is my convertible Mini Cooper (no helmet!).

    @Peter
    I’m anxiously awaiting the HTC patent infringement suit to go to court. I don’t hear much on the progress of that suit, but that will shed some light on the future of Android, WebOS (HP) and new multi-touch stuff from BlackBerry. I would think Apple would want to aggressively push this through the legal system, but it awfully quiet. Google argues that Android was in the works long before the introduction of the iPhone, but there is little doubt in my mind that Schmidt abused his position on the Apple board to assist Android development.

  3. @ChrissyOne
    Now I am 100% positive that you are my kind of woman. The V6 powered Valkyrie was dubbed the “Mother of All Cruisers” in 1997 and my father-in-law kept visiting the local Honda shop to dream about owning one. Years later he sold his Harley Sportster 1200 and bought a 2005 Honda Shadow 750C. The Valkyrie was just too much bike by that point. RIP, O.J. Templin!

  4. Anyone else think there is a reason that Microsoft is not pulling an HP and suing to keep Elop from working at Nokia? It seems obvious to me that they are happy at the move because he will force them to use Windows Mobile 7 and give Microsoft something they really needed: sales.

  5. @ KingMel

    Not to pick nits… But it’s a flat 6.

    The problem is that now I have to buy a Triumph Rocket III, because once you go that big you don’t go back. The Valkyrie was the finest, most powerful, comfortable, and pleasurable bike I’ve ever owned. Sadly, money pressures forced me to sell my baby several years ago.

    …but I keep looking at that Triumph. mmmhmmm….

  6. Will there be Win7 Nokia phones, will Nokia buy Microsoft’s mobile biz or vice versa, will Nokia start making something they really know such as rubber boots and toilet paper? They need to do something that is not imitating iPhone so maybe automobile related stuff?

  7. What a joke! The new CEO does not even have a masters degree. His bachelors is in computer engineering and business. He has no experience in telecommunications, hardware manufacturing, or worldwide carrier regulations. I will be shorting this stock big time.

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