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End for Nokia if new Lumia phones fail: Analysts - The Times of India

EndforNokiaifnewLumiaphonesfail:Analysts
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NEWYORK/SEATTLE:MicrosoftandNokiaareloadingupfortheirbestandpossiblylast shotatdentingasmartphonemarketdominatedbyApple'siPhoneandGoogle'sAndroid mobilesoftware. IfthenewLumiaphonesdonotappealtoconsumerswhentheyareunveilednextWednesday, itcouldmeantheendforNokia,andaseriousblowtoMicrosoft'sattemptstoregainitsfooting inthemobilemarket,analystsandinvestorssaid. "Thisisveryhighstakes,"saidCanaccordGenuityanalystMichaelWalkley."Nokiabet everythingonWindows,andifthisdoesn'tsucceedthenextstepmightbehavingtodowhat's bestforshareholders,andthatmightincludesellingoffkeyassetsorsellingthewhole company."

IfthenewLumiaphonesdonotappealtoconsumerswhen theyareunveilednextWednesday,itcouldmeantheendfor Nokia.

TheFinnishhandsetmakerhasloggedmorethan3billioneurosinoperatinglossesinthelast 18months,forcingittocut10,000jobsandpursueassetsales. Itsshareoftheglobalsmartphonemarkethasplungedtolessthan10percentfrom50percentduringitsheydaybeforetheiPhonewas launchedin2007. ForMicrosoft,asuccessfulLumialaunchwouldconvincemorehandsetmakersandcarrierstosupportitslatestphonesoftware,whichisbased onthesamecodeastheupcomingWindows8computingsystem,andpromisesfasterperformanceandacustomizablestartscreen. Windowsphoneshaveonlycaptured3.7percentoftheglobalsmartphonemarket,accordingtoStrategyAnalytics.Androidphoneshave68 percent,whileApplehas17percent. ThenewLumiaphoneswillhitthemarketjustastheworldofAndroidreelsfromapotentiallycrushinglegalblow,andasResearchInMotion's BlackBerrycontinuesitsdecline. ACaliforniajurydecidedlastweekthatsomeofSamsungElectronics'shotsellingAndroidsmartphonescopiedfeaturesoftheiPhone,which mayresultinimportbansanddrivehandsetmakerstoputmoreresourcesintomakingWindowsbasedphones. ThejudgmentopensawindowforMicrosofttoexploitbutitfirstneedstofindfavorwithconsumers. "WindowsPhonereallyisgoingtohavetostandorfallonitsown,it'sgoingtohavetoappealtoconsumers,"saidJackGold,anindependent Hardware mobileanalystwhorunsconsultancyJGoldAssociates. SamsungunveilsWindows8basedtablets, Goodtimings Re dmo e a r NokiaisexpectedtolaunchtwonewLumiaphonesonSeptember5,onthesamedaythatphonemakerMotorola,nowownedbyGoogle,also unveilsanewproduct. Itkicksoffabusyfortnightformobiledevices,withAmazon.comexpectedtointroducenewKindletabletsonSeptember6.Appleisseen unveilingthenewestiPhoneonSeptember12. ThecostlierofthetwoLumiaswillgoupagainsttheiPhone,andisexpectedtofeaturealarger,brighterscreenapowerfulcameraonboth sidesQualcommIncdualcorechipsSkypecallingvoicerecognitionshortrangeradiotechnologyforwirelesspaymentsandbuiltinmaps fornavigation. ButLumiawillneedsomethingcompletelydifferenttobeattheiPhoneandAndroid,suchasaboldnewshape,exceptionalcameraqualityora miniprojector,saidTeroKuittinen,ananalystatmobilediagnosticscompanyAlekstra. PartoftheproblemisthatWindowsPhoneshaveonly100,000orsoapps,comparedwithabout500,000forAndroidoriPhones. "Developerswanttoseemoredevices,andpeoplewanttobuyonlywhentheyseemoreapps,"saidSidParakh,ananalystatfundfirm McAdamsWrightRagen."I'dsayitwilltakeyears,theyaresofarbehind." Nokiamaynothaveyears.Finland'smostfamouscompany,relegatedtosecondplaceintheglobalcellphonemarketbySamsungaftermore thanadecadeatthetop,hasbetitssmartphonefutureonMicrosoft. SamsungstolesomeofNokia'slimelightbybeingthefirsttounveilaphonebasedonWindowsPhone8softwareonWednesday,aweekbefore Nokia'sevent.Canaccord'sWalkleyexpectsSamsungtooffersteeppricediscountsforWindowsphonesinmarketswhereNokiaisalso launchingitsphones. WhileSamsung,HTCandHuaweiTechnologiesarealsomakingphonesbasedonthenewWindowssoftware,onlyNokiaisfocusedentirelyon WindowsPhone8.ThismeansthatNokiashouldbeabletodelivermoresophisticatedWindowsphones. timesofindia.indiatimes.com/tech/news/hardware//16119973.cms?prtpage=1

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9/1/12 End for Nokia if new Lumia phones fail: Analysts - The Times of India WindowsPhone8.ThismeansthatNokiashouldbeabletodelivermoresophisticatedWindowsphones.

Supportfromcarriers ThejobofsavingNokia,andgettingthenewWindowsPhone8softwareofftoastrongstart,fallstoNokiaChiefExecutiveStephenElop,the formerMicrosoftstarwhoforgedtheagreementbetweenthetwocompanies. OnethingElophasinhisammunitionbagissupportfrombigUSmobileserviceproviderswhowantseeWindowsbecomeathirdstrong smartphoneplatformtocounterbalancethemarketheftofAndroidandApple,whichchargesaheavypricepremium. TopUSwirelessprovidersVerizonWireless,SprintNextelandDeutscheTelekom'sTMobileUSAhaveallsaidtheywillsupportWindowsPhone 8,andAT&TIncsaiditwillsellNokiaphonesbasedontheMicrosoftsoftware. "Everybody'slikingwhattheyseecomingfromMicrosoftwiththeWindows8(mobile)platformfromtheuserexperienceperspectiveandthe integrationperspective,"saidBillVersen,aVerizonWirelessexecutivewhoworkswithbusinesscustomersontheirsmartphonestrategies. "EnterpriseshaveWindowsbasedplatformsthey'reusingfortheirbusinesses.They'vebeenwaitingforMicrosofttomobilizethatinauser acceptedway,"headded. BecauseMicrosoft'snewphonesoftwareissimilartotheupcomingWindows8desktopandtabletsoftwaretobereleasedonOctober26 developerscanmoreeasilywriteappsforboth,whichshouldhelptheplatform'spopularityandmayevenleaddeveloperstoeventuallybuild appsforWindowsbeforeAndroid,CurrentAnalysisanalystAviGreengartsaid. MicrosoftactuallymakesmoremoneyfromroyaltiesonAndroidproductsthanitdoesonsalesofitsownphonesoftware,but"can'taffordnot tohaveasignificantpositionintheglobalsmartphonemarket,"saidCCSInsightanalystJohnJackson. Microsoftneedstogetatleasta10percentshareofthesmartphonemarketbytheendof2013tobeacontender,Canaccord'sWalkleyadded.

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