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    July 25, 2012

    The Death of Nokia

    Well, hopefully not the death. While I still think that they make the best hardware, things are looking pretty grim for Nokia. Instead of talking about how the company has been downgraded to junk bond (their assets are worth less than their market cap) status, lets take a step back at some of Nokia’s highlights:

    Not so long ago, the 13-note ringtone of a Nokia handset was the de facto soundtrack of the mobile revolution. The world‘s largest cell phone maker for more than a decade, the company was a leading innovator in both design and technology that helped bring wireless life to American high schoolers and rural Africans alike.

    It is also worth mentioning how Nokia basically set the standard for mobile networks:

    At the time, Europe was dominated by a balkanized mess of analog mobile networks that varied from country to country. This setup presented a logistical nightmare for companies in the business of making phones, which would have to build different models to meet the specifications of each individual market. As far back as 1982, engineers had been trying unsuccessfully to unify the continent under a single system. Nokia and its partners managed to get the network up and running in Finland by 1991. That year, the country‘s prime minister used a Nokia phone to place the first ever call on a commercial GSM Network.

    Nokia also made the best looking devices:

    Nokia‘s success was aesthetic, too. A 1999 New York Times profile of its design chief, Frank Nuovo, credited him with the idea of “œturning cell phones into fashion statements.“ Its otherwise plain 5100 and 6100 series phones came with easy to swap face plates that owners could change to “œmatch a shade of nail polish“. Its sleek 8860, designed to look like a chrome cigarette lighter, retailed for $799, and was given out as a favor to guests at the Emmy Awards.

    If Nokia does go (and I sincerely hope they don‘t) they‘ll leave a legacy of defining my first mobile experience and fueling the cellular market as we know it. Were it not for Nokia, we‘d all still be using a Motorola Startac and that‘s reason enough to still hold a place for the company.

    Source: The Atlantic

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    • Jackinthebox

      I wish apple would go instead.

      • Anomynous

        Apple? Please do tell me the reasoning behind your statement.

      • Count Blackberry in, I have an 8 year old nokia as a backup( my primary phone is a 2 year old nokia), it still makes the calls when I want to make them, does not lose receiption, punts the odd mms and mp3 and I can use it to “facebook” and 10 day, yes 10 days of battery life.

    • JohnWebb

      Nokia still has so many dumb and feature phones in the market – their brand will live on in many African markets.. but their revenues wont. Those phones have been sold many years ago.

    • synack_sa

      They should have dropped the Symbian OS a long time ago and just realised it was a bad investment and was never going to catch up with the current top phone OS’s out there atm (namely Android and Apple OS ad to some degree Windows mobile). Even when the new CEO joined and made a very public announcement on how things were going to change, it carried on the same. They kept pumping out Symbian phones for the masses and went with other OS’s for the high end phones, which were never going to sell enough to make money to cover the losses that they would make from losing the low-mid range market share that they have lost. I really hope they get bought out by someone and get the brand back into the market place.

    • Uninformed writer. How did he get his blog linked on news 24?

    • Bankrupt? I think not, let it be known that within 2 years from now the name Nokia won’t be around but a Windows Mobile phone company will be…

    • I agree with you that the Nokia still makes the best hardware (that in my view lasts much longer), but I do think the outlook for the future is at least relatively bright for Nokia, but it does all depend on the uptake of Windows phones. So for Nokia’s sake I hope Windows 8 is great.

      And just a side note, asset’s being worth less than Market cap is not really a bad thing, in fact it would be expected for any good company. I’d be more worried if it were the other way round.

    • tim

      the ios/android tide will change…. windows phone 8 and nokia is match made in heaven – it will take 2- 5 years but they will dominate the market again whilst under Elop