Nokia expected to make radical strategy change: Windows Phone ‘07 or Android

“Over the weekend, persons familiar with the situation told The Wall Street Journal that several senior Nokia managers are expected to leave the company as part of new CEO Stephen Elop’s plans to revamp the company’s strategy,” Gustav Sandstrom reports for The Wall Street Journal.

“Nokia has hired executive recruiters to find a new head of operating systems and a new head of R&D, one person said, while another said the company has also started the search for a new head of its North American business,” Sandstrom reports. “Exactly who would leave the board remains unclear, as executives themselves won’t be briefed until a day before the company’s strategy update on February 11, the persons said.”

“There is no doubt that Stephen Elop, who took the helm at Nokia last autumn, has a mandate for radical change. Analysts and investors expect the company to announce far-reaching adjustments to its current strategy as it strives to fight back against its fast-growing rivals,” Sandstrom reports. “Over the past few years, Nokia has lost high-end market share to iPhone-maker Apple Inc… Apart from the expected management shake-up, market watchers also believe that Nokia will announce a new software strategy on the upcoming Feb. 11 briefing, including plans to build new smartphones based either on Android or on Microsoft’s Windows Phone 7 platform.”

Full article here.

MacDailyNews Take: MeeGo down the drain and, if Nokia gives up and shackles themselves to Google or Microsoft, so does their future. Becoming just another dime-a-dozen assembler of pretend iPhones is not a strategy, it’s desperation. Our idea from last September was better: “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.”

38 Comments

  1. As I predicted last fall, Microsoft will either buy Nokia or create a strategic alliance with the cell phone giant. Nokia will supply the hardware and access to it’s huge carrier agreements and Microsoft will supply the software ecosystem making the Redmond company an instant player

  2. Actually, I think MDN’s take IS what Nokia is going to do. Symbian will continue to drive those crap candybar phones in developing markets. Then, I think they’ll announce this week that they’ll drop Meego for their high-end smartphones, but keep it for their tablets. Their high-end smartphones will get WP7. No, I don’t think it’ll work, but they sure as heck aren’t going to use Android, where they’ll just be late to the party, like LG and Sony Ericsson. They’ll use WP7, because Microsoft needs them, as much as they need Microsoft. The Titanic will still sink, but at least, they’ll think they have a chance to be the 3rd option in this game, where iOS and Android dominate. Someone’s got to be 3rd, and it’s between them, Rim’s QNX and HP’s WebOS, so why not Nokia and WP7? Microsoft isn’t happy that their four vendors all have more invested in their Android businesses, so they’ll be happy to cut a sweetheart deal with Nokia. No more minimum hardware specs, etc. Plus, Nokia can put some of their stuff on the phones. In fact, I bet Microsoft pays Nokia to do it.

  3. While Elop left MS and jumped ship over to Nokia, the people he’s letting go are happily coming over to MS where we’ll deploy them to the WP7 team.

    So MS will end up with some hot sauce Nokia expertise. Not that they’ll be able to polish the turd that WP7 is but at least it won’t let WP7 descend to Zune hell.

  4. Nokia should concentrate of what they do the best and that is build better backbones for our phones. MDN’s take is utterly wrong, Nokia is one of the handfull of companies building our phone systems we depend on for our iPhones.

  5. I seriously hope he brings the much celebrated office ribbon menu interface to the new Nokia gui. Say what you want about Mr Elop, it’s hard to criticise the guys ability to recognise great GUI ideas when he sees them.

  6. BLN,
    Dude you are more confusing than normal…

    MS employing engineers & executives that failed at Nokia will help MS, how?
    AND
    Those employees not being able to polish the WP ’07 turd will keep it from going down the same toilet that the Zune (and more recently the Kin) went down, exactly how?

  7. Nokia wants to break into North America where Windows 7 phone has done so well shipping over 2 million licenses.

    They should have picked Android where the whole OS will be in the courts for years.

    Some choice.

  8. While it had the market share, Nokia should have gone with the strategy of “More Open than Google” – complete lego like assembly of phone parts, swappable anonymous chips, swappable free OS, priced under the typical smartphones and target the emerging markets where tough, inexpensive, DIY phones will thrive. It would out-geek the geeks that prefer Android and differentiate itself in a new niche.

    If Nokia had the knowhow, it would have overtaken RIM already. The fact it did not before the iPhone revolution means internally it was already screwed.

Reader Feedback

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