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View Full Version : Should Microsoft buy Nokia?


Brad Wasson
01-03-2011, 07:30 PM
<div class='os_post_top_link'><a href='http://www.businessinsider.com/microsoft-should-buy-its-way-onto-nokia-phones-2010-12' target='_blank'>http://www.businessinsider.com/micr...-phones-2010-12</a><br /><br /></div><p><em>"Fine. Then Microsoft should buy its way onto Nokia phones, either through an outright acquisition of the company, or through a major strategic investment along the lines of its 2007 investment into Facebook, which has paid off handsomely."</em></p><p><img src="http://images.thoughtsmedia.com//wpt/auto/1294080121.usr110171.png" style="border: 0;" /></p><p>An interesting article by Matt Rosoff over at the Business Insider website postulates that now might be a great time for Microsoft to buy Nokia. Odd bedfellows? Certainly, but Matt makes an interesting set of points including the notion that Microsoft just cannot make enough money off mobile software operating system sales to make the finances work in the long term, Nokia has a huge marketshare for mobile handsets, the two companies have been cooperating on enterprise mobility for years, and Microsoft has cash on hand to do it. There's more to his logic, and it makes for an interesting read. I like one of his final points, and it's worth contemplating: will these two companies slide toward irrelevance if they don't merge? Intriguing idea. Hit the Read link and let us know your thoughts.</p>

Fritzly
01-03-2011, 08:17 PM
I am afraid this guy is confused: buying a company like Nokia is not like conquering 24 territories when playing Risiko. Billions are billions and the conclusion about irrelevance if MS will not do what he says is just the cherry on top of the cake.

Lee Yuan Sheng
01-03-2011, 09:10 PM
Has Fantasy Football crossed into Fantasy Business?

whydidnt
01-03-2011, 10:45 PM
Not to mention the whole basis of his argument is wrong. He suggests that there isn't enough revenue available at $15.00/license. Of course he seems to forget that if successful there will be much more revenue available via market commissions and mobile Bing advertisements. He seems to understand that this could be a viable business model for Google, but for some reason forgets those potential revenue ops for Microsoft.

When you consider that both Nokia and Microsoft's blind spots are in delivering the "total package" software/hardware, it seems improbable that combining the companies would actually solve that problem. It's not that one is focused on hardware and the other software, but rather, that neither seems to understand that it's a combination of the two that delivers a great experience and wins customers.

Considering the EU's hate of all Microsoft business initiatives to begin with, could you imagine what would happen if Microsoft tried to acquire Nokia? I imagine it would be held up in regulatory hell for years and years. :p

Stinger
01-04-2011, 11:15 AM
Sounds like an excellent plan. Buying Danger worked out so well for Microsoft, why not go with the same strategy again?