Stephen Elop
Nokia is Beginning to collect the fruits of STI alliance with Windows in the smartphone business.
The Finnish company’s shares go up more than 5% after-selling 19.6 million smartphones in the fourth quarter, instead of 18.5 million that was the number expected by experts. Nokia began selling Lumia 800 in Europe on November. Following the launch of this model, its ‘little brother’ Lumia 710 has also been launched and is sold in Hong Kong, Taiwan, Singapore, India and Russia since December. This latest model is already on sale in the US-market by T-Mobile USA.
Investors have preferred to focus on sales of smartphones even though the income of the group has brought only bad news: Nokia has lost 1,070 million in the last quarter of the year due to updating the value of it unit location services.
Their incomes have fallen by 21%, until 10,000 millions of euros, due to lower sales of the basic model mobile phones, which is Nokia’s strength.
During the last year, 2011, Nokia won 1,078 million euros, 52% less than in 2010, with sales declining 8.9% to 38.661 million. The company ended the third quarter of 2011 with a share of 23.9% in the global mobile market. The main reason for this decline is the strength of Apple and Android operating system mobiles in the segment of smartphones.
Precisely this situation is what led to the arrival of a new company CEO Stephen Elop. The executive is from Microsoft,the company Nokia has partnered with in order for the both companies to stay in the smartphone business.
Microsoft is in a similar situation with its operating system ‘Windows Phone’, which intends to fight the advantages of Apple’s ‘IOS’ ‘and Google’s ‘Android ‘.
Elop showed yestarday its confidence in ‘Lumia’ models, the first fruit of the collaboration between the two giants.
Nokia has also announced that Risto Siilasmaa, founder of security softwarefirm F-Secure, will be their next president replacing Jorma Ollila. Siilasmaa is a member of the Board of Nokia since 2008.
