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    Nokia and Microsoft against iPhone  

    Sales of Nokia smartphones, the fastest-growing section of the market, grew by 61% from a year ago to 26.5 million units, but the company is facing tough competition from Apple’s iPhone and phones using Google’s Android operating system. Nokia’s share of the smartphone market fell from 38% to 28% in 2010, according to monitoring firm IDC.

    At the end of the previous year Nokia’s new boss, Stephen Elop, said that they needed to review its place in the industry.

    So, today Nokia and Microsoft have joined their forces in an attempt to regain ground lost to the iPhone and Android-based devices. The deal will see Nokia use the Windows phone operating system for its smartphones.

    The new strategy means Nokia’s existing smartphone operating systems will be gradually sidelined. Microsoft’s Bing will power Nokia’s search services, while Nokia Maps would be a core part of Microsoft’s mapping services. Symbian, which is used on most of the company’s existing smartphones will become a „franchise platform“, although the company expects to sell approximately 150 million more Symbian devices in future. It will be used as a transition from Symbian to Windows phone as a primary Nokia smartphone platform.

    There’s another one upcoming MeeGo operating system that will also be sidelined. The MeeGo platform was expected to form the core of Nokia’s future smartphone and tablet strategy. The company says MeeGo will place increased emphasis on longer-term market exploration of next-generation devices. It still plans to ship one Meego device by the end of 2011.

    The Nordic managing director of research firm Greenwich Consulting said, Nokia may have difficulty juggling its three operating systems: Windows, Symbian and MeeGo.
    There was no specific announcement about when the first Windows-powered Nokia phone will be available.
    As Ben Wood, an analyst with research firm CCS: Insight said „This is a clear admission that Nokia’s own-platform strategy has faltered“. „Microsoft is the big winner in this deal, but there are no silver bullets for either company given the strength of iPhone and Google’s Android,“ he added.

    Some experts think that it’s a very brave decision for Nokia to move from Symbian away. Rory Cellan-Jones Technology correspondent, BBC News: „Nokia is moving from an ailing system Symbian — which still has a large chunk of the market — to a fledgling which has yet to prove itself, made by a firm with a poor track record in mobile. The cruel verdict from some is that two turkeys don’t make an eagle — but you can’t fault Mr Elop for his audacity. This is a huge moment which could shape the future of an industry.“

    Articles »  Nokia and Microsoft against iPhone »  Views: 4481   Diplomatic Club

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