Microsoft has recently acquired some 32,000 of Nokia’s 88,000 employees and almost half of its trailing 12-month revenues. The chairman considers this a “transformational change for Nokia” but still believes in the strong market position of the Finnish phone maker.
Siilasmaa added that “Nokia will seem awkward without its major departments like the mobile devices and services business but it still has a strong plus point in the form of its three remaining businesses — NSN, Here, and Advanced Technologies — each having a substantial value for the firm.”
To start with is NSN (Nokia Solutions and Networks). Siilasmaa considers this as an integral part of Nokia Inc. as Nokia’s network business is responsible for shipping products and services to companies internationally.
The chairman stated “NSN is very expert in the mobile broadband especially strong in LTE business. We will launch dynamic and innovative products like the Liquid Applications by having a greater and strong emphasis investment in R&D. This latest technology was released in Barcelona at the start of this year.”
The other important pillar of earnings for Nokia is Here, as per to Siilasmaa. Nokia’s Here gives real-time traffic reports, map locations and other cloud-based advantages to Internet-connected cars drivers. Nokia said that it is launching a joint venture with Mercedes-Benz to design maps for self-driving cars yesterday.
Siilasmaa added that Here is readily available in four out of five vehicles with built in-dash navigation and we have designed location maps for millions of kilometers of road all over the globe.
The chairman mentioned the third and final new business that the firm has got. It is called Advanced Technologies; this unit encompasses Nokia’s patent portfolio.
“Nokia’s huge investment in R&D has made us largest and strongest intellectual property portfolio in our market, with almost 10,000 selected patent families. We’ve installed a major patent and technology licensing operation, which will be the driving force for revenue and profit generation for Nokia via Advanced Technologies business.”
Nokia will surely be deprived of its major businesses after it is handed over to Microsoft. The current CEO Stephen Elop has also shown his tendency to flee to Microsoft, so the appointment of a new CEO will be a tough job for the leading handset maker.