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The Deal That Makes No Sense

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1–10 of 165 posts

Re: The Deal That Makes No Sense

#3
I love this guy. He almost always "gets it". If Microsoft was forced into buying Nokia's phone business, then if I were a WP phone customer, I'd be even more worried for this division's future, because it means they don't really have a clue what to do with it in the future, if they only bought it so Nokia doesn't go bankrupt (they were running out of money).

It also doesn't help that Microsoft has historically had pretty incompetent management, horrible culture between divisions and inside divisions, and it's now in the process of reorganizing and getting rid of its CEO (which was also sudden, and unplanned).

Re: The Deal That Makes No Sense

#5
The notion that Nokia was about to jump-ship or simply go under is certainly plausible. Another possibility is that MS wanted to start using Nokia's resources for their other hardware projects and it was going to be awkward slicing off teams from Nokia and having them start working under a MS department. MS might not be selling as much hardware as Apple, but their XBox line is the current king of consoles. With a new console-war brewing, MS is probably desperate for any edge they can get over Sony. Who knows? Nokia might just have something that can help.

Re: The Deal That Makes No Sense

#6
Can I add my own conspiracy theory and put forward that MS wanted to buy Nokia years ago when the world was going mobile but couldn't. Then one by one, MS VPs mysteriously left their posts to go work with Nokia. Fast forward to today, MS finally buys the firm they wanted to in the beginning.

Re: The Deal That Makes No Sense

#7
Elop must have the record in destroying a company. In 5 years a company went from being market leader with something like 90% of the smartphone market to almost bankrupt. I do not think something like this have ever happened this fast.

Re: The Deal That Makes No Sense

#8
post #4
post #2

[deleted]

Sometimes I think these really big acquisitions are based on the "Politician's syllogism": 1. We must do something 2. This is something 3. Therefore, we must do this http://en.wikipedia.org/wiki/Politician%27s_syllogism

I wouldn't limit it to the really big acquisitions. If the market says jump, the desperate company does it ASAP and invariably bumps their head on a sharp pointy object.

Re: The Deal That Makes No Sense

#9
post #7

Elop must have the record in destroying a company. In 5 years a company went from being market leader with something like 90% of the smartphone market to almost bankrupt. I do not think something like this have ever happened this fast.

Elop only joined Nokia towards the end of 2010. Nokia was well and truly on their downward slide by then.

Re: The Deal That Makes No Sense

#10
post #7

Elop must have the record in destroying a company. In 5 years a company went from being market leader with something like 90% of the smartphone market to almost bankrupt. I do not think something like this have ever happened this fast.

(1) 50% five years ago and already dropping. http://upload.wikimedia.org/wikipedia/commons/a/ae/World-Wid...

(2) Elop arrived in 2010 and Nokia was basically already done for.

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