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Nokia Agrees to Buy Alcatel-Lucent for $16.6B

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Re: Nokia Agrees to Buy Alcatel-Lucent for $16.6B

#102

HERE engineer here (yes, I also sometimes hate the noticeable amount of redundancy of our corporate brand). One important point that analysts haven't stressed enough while evaluating potential buyers, is the role our top customers play in all this dance. By top customers I'm referring to car manufacturers in particular. They are the ones who are paying/will pay top dollar for our connected car offerings. A sale to a…

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Re: Nokia Agrees to Buy Alcatel-Lucent for $16.6B

#103
post #18

Essentially this means that Nokia won't get back into consumer hardware for a good while. The mapping division (Here) will probably be sold soon. The mobile networks business is now the primary driver at the company. They'll have their hands full trying to integrate the Alcatel-Lucent networks business with their existing assets. (Remember that Nokia's networks business today is already the result of a merger with Si…

I thought that they signaled that decision by splitting the company and selling the phones to Microsoft?

Re: Nokia Agrees to Buy Alcatel-Lucent for $16.6B

#104

HERE engineer here (yes, I also sometimes hate the noticeable amount of redundancy of our corporate brand). One important point that analysts haven't stressed enough while evaluating potential buyers, is the role our top customers play in all this dance. By top customers I'm referring to car manufacturers in particular. They are the ones who are paying/will pay top dollar for our connected car offerings. A sale to a…

[deleted]

Re: Nokia Agrees to Buy Alcatel-Lucent for $16.6B

#105
For me this can be seen as a symptom of the problem with technology companies today: If you're too small you won't be able to survive. So everyone gets bought so that they don't die.

In the end you have a few big companies splitting up the market under themselves and the hurdles for a market entry are too high.

An even better example for this are semiconductor foundries.

Re: Nokia Agrees to Buy Alcatel-Lucent for $16.6B

#106
post #18

Essentially this means that Nokia won't get back into consumer hardware for a good while. The mapping division (Here) will probably be sold soon. The mobile networks business is now the primary driver at the company. They'll have their hands full trying to integrate the Alcatel-Lucent networks business with their existing assets. (Remember that Nokia's networks business today is already the result of a merger with Si…

You neglect that Samsung is also a huge player in the mobile networks equipment business.

Re: Nokia Agrees to Buy Alcatel-Lucent for $16.6B

#107

HERE engineer here (yes, I also sometimes hate the noticeable amount of redundancy of our corporate brand). One important point that analysts haven't stressed enough while evaluating potential buyers, is the role our top customers play in all this dance. By top customers I'm referring to car manufacturers in particular. They are the ones who are paying/will pay top dollar for our connected car offerings. A sale to a…

Is it perceived as a given that Nokia's going to dump HERE? I used to be with the Point & Find group, which is what became City Lens -- my impression is that they were working on a quasi-secret project all last year, some kind of outdoor adventure thing, but I noticed last month that just about everyone I'd worked with changed their LinkedIn status to things no longer associated with Nokia/HERE.

Yeah, that was canned.

Re: Nokia Agrees to Buy Alcatel-Lucent for $16.6B

#108
post #97

Earlier quoted context omitted.

Nokia also designed the hardware and wrote the software for the N1, so i wouldn't call it a traditional brand licensing thing a la Kodak/Polaroid. I should know, I was PM on it.

The marketing and launch for the product was very weird if this is the case. Why was it emphasized that it's a brand licensing deal? I think being so loud about it certainly diminished the value of the product. If Nokia designed the product, hardware and software, how is it different from the typical model (Apple etc.)? Is it because the 'producing' and money for the product came from the Chinese? I.e. the Chinese to…

It was emphasized as such to shareholders because they are rightly concerned that having just essentially exited the market for consumer electronics, the company should not go re-entering the market exactly as before. And so you have this arrangement with a manufacturing partner which greatly reduces the risks Nokia assumes in re-entering the consumer market.

Re: Nokia Agrees to Buy Alcatel-Lucent for $16.6B

#109

Valued less than WhatsApp!

Don't forget that in 2013 Microsoft bought Nokia's handset division for half of the price Nokia is paying now for Alcatel-Lucent.

I'd argue that the networks business is and always has had more long term value than handsets.

Re: Nokia Agrees to Buy Alcatel-Lucent for $16.6B

#110
post #32

So basically now Nokia, Erisson, Huawei or ZTE ( Are there any others ) actually build and run the Network Backend of Mobile Network, while Mobile / Cell Operators does the sales, marketing and customer services?

Samsung - and there are a ton of companies that do builds that dont make hardware, like General Dynamics (who does just about everything)
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