Today Nokia has made something like what are Apple and Google each other whenever one of the two has a great event between hands. With Google I/O 2016 a few hours to start, Finns have announced its return to the market of smartphones in the hands of FoxConn and the operating system chosen for its return is also Android. Nokia is back, feel free.
This news, which will make all media today people talk about turn the Finnish giant that was never to leave at all, serves as a counterpoint to the confirmation that Microsoft has placed its “feature phones” or ordinary mobile phones division. Some return and others move, and FoxConn is at the center of everything. But now forced reflection is, what you removed Microsoft of all this?
Great expectations when buying Nokia
There is no doubt that the expectations were very high when it was announced that Microsoft was associated with Nokia and finally, years later, ended up doing with its mobile phones division. Today things are very different and the sales figures of Microsoft in mobile, practically on the floor, They invite you to think that Ballmer bet, then the project was his own, he has been a failure.
The current Nokia is not the Nokia that was, we will see how Nokia will be
The Nokia now is not the Nokia who bought Microsoft, and nor is the Nokia that triumphed in the market of mobile phones in an era in which seemed that no one could do shadow. The arrival of the iPhone changed everything, the smartphone has become the only option for the future, and many companies fell by the way, unable to adapt to the new paradigm.
One of these companies was Nokia, whose rear line Lumia, although attractive, never did go to the company and when they were finally Microsoft Lumia did them better. Nokia has failed in the sector of smartphones and Microsoft thought that it could buy experience for less money, but the important thing was always the brand and Nokia knew how to play their cards reserving a re-entry from 2016, something that just happened.
What you buy exactly Microsoft do with Nokia?
Was not companywide, as Nokia maintained its business in terms of equipment and deployment of networks for mobile operators, something that today is still giving them benefits and causing more than one headache in countries where there are now resets, as this particular case of Spain with controversial dismissals of means to merge with Alcatel-Lucent.
5.440 billion euros, WhatsApp 1/4
The purchase transaction between the two companies, valued at the time at a total of € 5,440 million, It included the patents of the Finnish company, license Here, their maps, and the complete division of mobile phones. The breakdown occurred in the following manner: 1,650 million euros by the portfolio of Nokia patents and 3,790 million euros by the mobile business.
The purchase of the mobile division was something more than a simple business buying, as the agreement included the transfer of 32,000 employees of Nokia to Microsoft in areas such as management, engineering, manufacturing, Assembly and distribution. “For Nokia this is an important step to reinvent ourselves and strengthen our financial position and begin our next chapter,” were statements of Risto Siilasmaa, Nokia.
Microsoft, too slow and heavy on the land mobile
Phone Park sharing with Windows in March 2016, via AdDuplex
The future Grand operating system for mobile phones from Microsoft had not arrived, and buy Nokia was a way to pave the way for the landing, late of 10 Windows Mobile for Microsoft. To situate us, the announcement of the purchase came in 2013, the purchase was completed in 2014 and the mobile first with 10 Windows Mobile have reached at the end of 2015.
Working speed has not been the strong point of a Microsoft which today yields more and more land to an unbeatable Android in sales throughout the world, a system that has something that Microsoft has left behind along the way: the support of the manufacturers. The Lumia, exclusive line of Microsoft, has resisted any of the stakes and today is an OS virtually irrelevant.
The latest figures from Microsoft in mobile are overwhelming. The presentation of Microsoft earnings in its third fiscal quarter of 2016, your Q3, have left to Lumia phones and almost all of the division focused on the mobile industry to the edge of a precipice. The fall is dramatic, 73% less terminals compared to Q3 of the previous year.
The bet has been powerful for a long time, however. Microsoft launched several projects to attract towards Windows for mobile applications from virtually every corner of the planet. These projects, of which some like Android applications have fallen by the way, have not been sufficiently attractive.
The sale of the feature phones to FoxConn has only meant a step more in the dismemberment of the mobile division of Microsoft, now in the hands of Satya Nadella. Remember that another powerful tool that Microsoft acquired with the purchase of Nokia was the license Here, its maps application, and this was sold to a consortium of car last year.
To this day, mayo 2016, little remains of Nokia within Microsoft. With a mobile division in free fall, and no sign that the situation can improve, despite betting so interesting like HP or VAIO, or such interesting projects as the UWP or the convergence with the Xbox One applications or desktop systems, Microsoft still bleeding on smartphones.
The escape from the software
The output of Microsoft perhaps which was initially that of the software. With Windows 10 month-to-month to expand to more and more computers, with figures that already exceed 300 million installations, Redmond’s lead time to expand its services to other mobile platforms, setting up a fairly robust ecosystem and becoming increasingly more attractive.
Azure, its platform in the cloud, also continued to gain prestige and already contains tools which at the time were direct, such as BlackBerry or SAP competition and today do not have more rivals, at least to their level, than the one represented by Amazon with your AWS.
What seems pretty clear is that the Lumia line seems very difficult to trace, Despite the promise of a competent OS and offering real advantages to its users, and partners level the situation is not much better. Perhaps this is the time that we understand that the purchase of Nokia Microsoft movement has finished being a complete disaster.
Maps Here out of their reach, mobiles and producing losses and decreasing share and patents, the only ones, being profitable. That is the sediment that has made Nokia within Microsoft.
No one own Microsoft, knows what will bring the future to Nadella mobile field but Windows 10 has come late, perhaps too much so at Microsoft again be relevant among the manufacturers of smartphones.
Today, with the mobile division in free fall and the feature phones and sold maps to Microsoft not much you Nokia unless its patents, which to this day continues to make business obtaining income from its competitors, such as Google and Samsung. They were not skilled in hardware or in software, Although this last may be what saved them from falling into oblivion in the future.