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Is Nokia Headed for Troll Country?

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krisi
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hard
krisi   9/3/2013 11:43:37 AM
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It will be very hard for Nokia to re-invent itself

rick merritt
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IP and IP
rick merritt   9/3/2013 11:44:39 AM
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Interesting idea that this deal might in part be motivated by a desire to consolidate the intellectual propterty portfolios of the two companies. M'soft is already said to be earning more revenues in royalties for IP on non Windows Phone handsets than it earns for actual sales of Windows Phone handsets. Ouch!

I had not heard about a M'soft datacenter in Finland as part of the deal, but it makes sense. Facebook already has a Scandinavian data center. These days its cool to place these computer warehouses in such cool climates.

Peter Clarke
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Re: hard
Peter Clarke   9/3/2013 12:52:00 PM
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@krisi

Harder than when they created the first mobile phones selling for thousands of dollars each?

Right now it is about choices. What must Noka do with $7.2 billion. Give it back to the shareholders or use it to make business. If the second option what business should they make?

Peter Clarke
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Re: IP and IP
Peter Clarke   9/3/2013 12:54:38 PM
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To me the issue that i am struggling with...perhaps reflected in my article... is whether Nokia shareholders are best served by returnning to a business model that makes objects or whether making intellectual property IS the business to be in going forward and that the objects associated with the IP are the dongles that stop people ripping you off.

eewiz
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Europe's Future!
eewiz   9/3/2013 12:58:02 PM
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"Ultimately, such a process would leave Europe with an aging population unable to service its own needs, let alone create the value to draw in much-needed cash."

Happened to discuss the same topic with several of my friends. And honestly this is a very plausible situation, unless Europe put some serious effort to use the energy of its young people, by redirecting them into technology and entreprenuership. 

krisi
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CEO
Re: hard
krisi   9/3/2013 1:02:38 PM
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I believe so Peter...starting something new was exciting...trying to turn around a bleeding empire is another...but they will not die, will just shrink few times and stabilize

Bert22306
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CEO
Regional vs business thinking
Bert22306   9/3/2013 3:55:36 PM
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There seems to be a disconnect here, between what politicians or individual workers might prefer, vs how a company has to think to stay in business. Business goes where it makes most sense. They don't care about national boundaries, except perhaps as feel-good platitudes by the corporate execs during pep talks to the employees.

Even if Nokia reinvents itself successfully, I don't see why this has to be in Finland anymore, or certainly not in Finland exclusively.

I think most young people who have any ambition have always realized this, when they are of an age to begin their careers. You investigate where the jobs are that interest you, and you go there. It's always been thus. These days, with globalization, it's just more so. I think of this sort of like water naturally flowing to the low ground, always striving to be at the same level everywhere. Globalization is like removing dams or other obstructions, that force the water level to be different in different locations.

Susan Rambo
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Re: Regional vs business thinking
Susan Rambo   9/4/2013 1:07:52 AM
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Yes, agreed: companies will be companies. But then again countries will be countries: But I think Peter conjectures about the fallout of lost engineering jobs in Finland and Europe, not just whether he thinks Nokia is on the right or moral track. Most people still live in countries with borders and citizens, who hope that they don't necessarily have to travel to another country to find work. You want your country to be prosperous and have a strong economy and job market. As the blog says, What is "tenable from a senior executives' point of view as he or she flies around the world from company site to company site" is seen differently from a "citizen's point of view, if wealth is not created in your region and shared around through the combination of local spending and taxation, how is your region going to continue to be able to afford its standard of living?"

jackOfManyTrades
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Manager
Re: IP and IP
jackOfManyTrades   9/4/2013 2:59:35 AM
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To be brutally pedantic...Finland is not Scandinavia; Scandinavia is just Sweden, Norway and Denmark.

Peter Clarke
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Re: Regional vs business thinking
Peter Clarke   9/4/2013 5:47:45 AM
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Globalization is like removing the dams that force water to be at different levels in different regions.

Well put.

And Nokia is already a multinational with far more employees outside Finland than inside.

But the freedom with which money moves and with which companies can be multinational is different to the freedom that people have to move.

In theory I am free to work anywhere in the European Union but i would struggle to get persmission to relocate and work in a lot of other places.

So what do the people in Finland do when the govt says there is not enough tax revenue to maintain central services as they would wish etc.?

 

 

 

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