back to article Nokia: When pigeons fly home to roast

Pundits this week are describing Nokia's fall from grace as one of the greatest corporate car-crashes of all time. But here's an unfashionable view. Nokia's problem is not Stephen Elop, or his strategy. Its problem is it didn't have Stephen Elop, or his strategy, in place two years ago. And while we are certainly watching a …

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    1. Gordon 10

      Nailed it

      In one.

    2. bamalam
      Facepalm

      ...and poured petrol on it

      I think the contrast is with what Steve Jobs did is apt. There are loyal customers and more importantly developers of Nokia and Elop managed to ditch them over the side by not going to MeeGo

  1. Jean-Paul

    It isn't Windows Mobile

    It is Windows Phone, there is a huge huge difference.

    I think Elop's mistake is that it is taking them so long to get a Nokia based Windows Phone device out. I think the combination would be really really good. But why is it taking so long....

    1. Anonymous Coward
      Anonymous Coward

      @Jean-Paul

      It makes a huge different to techies maybe.

      To everyone else who ever had to fight with a shit PDA, they will just go "no thanks. not again".

    2. Ilgaz

      You can sell Windows Mobile to Symbian users

      Windows Mobile which that schizoid company abandoned is the right platform you have slightest chance to sell to Symbian owners. Even companies who only coded Windows Mobile and Symbian software will tell you that fact.

      Windows 7? Trust me, if Sun/Oracle wasn't that stupid, I would choose a J2ME featurephone instead.

  2. Mikel
    Trollface

    in hand

    He could have announced the shift when he had new product to ship. He did not.

    1. DF118
      Facepalm

      Yeah

      Because it would be such an easy secret to keep.

  3. Frank 2
    Holmes

    All they need to do...

    ..is create a smartphone that actually lets you make telephone calls while you're still indoors.

    1. Robert E A Harvey
      Holmes

      and

      ...read the screen while outdoors

  4. James 47
    Pint

    An Alienated Developer???

    http://twitter.com/#!/ceoStephenElop

  5. Anonymous Coward
    Unhappy

    Basically if you wanted to fix Nokia do start from where Elop had to.

    The big mistake was announcing the switch before having anything to immediately launch. There were two reasons for that. 1) Keeping anything secret seems to be a problem for Nokia. 2) Legally a switch to Microsoft (or Google) would have been too big a relevant factor to keep secret from the shareholders and Nokia could easily have been sued in the States for trying.

    Elop unlike his predecessors has actually taken the time to talk to his workers. Nokia Employees have seen and heard more from Elop in 9 months than they did from Olli-Pekka Kallasvuo (OPK) in in his whole tenure. He has spoken frankly, and like the message or not, Nokia Employees have been happy about the level communication.

    The big problem at Nokia is that the Finnish management in particular is extremely risk averse, they stuck to Symbian because it was working. They didn’t invest in Meamo back when the Nokia 770 first came out as a long term replacement. They were afraid to take any big decisions to re-write S60 preferring the ‘safer’ route of evolving it. This is exceptionally strange in a company and country that doesn’t have a cut throat business culture and one or two bad calls were unlikely to get you canned.

    Elop now has the company in a position where they have to make Windows Work there is no longer an internal power structure thinking it can just carry on with Symbian and maybe the windows thing will just go away.

    Personally I don’t think Nokia would be in any better a position if it had gone with Android rather than Windows. It could have flogged off Navtech since it wouldn’t need it, but it would still be faced with the apparent death of Symbian and the lack of an immediate replacement.

    Personally I might of gone for padding out Maemo by ‘nicking’ open source bits from Android (including Dalvik) and allowing people to run QT or Android Apps. Beefed up OVI store to sell Android Apps as well but in a more controlled way than Google. With hope that the QT migration path would retain the Symbian Camp during a long migration to MeeGo. However it’s Just as risky a strategy and would be at higher cost than the clean break.

    Basically if I wanted to fix Nokia I wouldn’t have started where Elop had to. I’d have put someone else in, instead of nice safe OPK back in 2005, but that would have been a risk, and as I said Finnish Management is risk averse.

  6. Julian 3
    Holmes

    Sleeping on the job

    Microsoft's development of their Windows Mobile platform was abysmal and half hearted at best. They are trying to play catchup by doing some actual work on Windows Phone 7 rather than letting it wither away like they did with Windows Mobile. Nokia have been resting on their laurels for years thinking past glory's will keep them alive. Much like Motorola and look where they are now.

  7. Dick Pountain

    MeeGone

    Almost everyone would like an iPhone

    Almost everyone will settle for Android

    End of

    1. DF118
      Meh

      Yep, almost everyone

      Don't like iPhones (had a 3GS, found it... underwhelming).

      Don't like Android (got one currently - the UI foibles and blatant omissions, even compared to Nokia products of almost fifteen years ago, do my head in).

      Will definitely be trying WP7 next time round, and with a bit of luck it'll be on Nokia hardware. Everyone I've spoken to who uses it (yes, both of them) loves it.

      And I'm sure I'm not the only one.

      1. multipharious

        Best way to decide is to use all three

        I am currently using iOS, Android, and WinPhone7, and the WinPhone7 interface is the best IMHO. Real pleasure to use the phone. Get the Samsung with the AMOLED. The WP7 startup configuration is a right royal pain in the ass if you are not in a domain using an Exchange server, but afterwards, life with the phone is really a nice user experience since you don't need a bunch of apps to get to the info you want. Watching a demo doesn't show you this. You are going to dig it. I am looking forward to returning to Nokia hardware. I was a loyal customer for ages.

        Currently the Apple hardware is hands down the best. What they do with design is wonderful...but they need a little push from behind to get their interface updated to this decade. That ain't Android honeycomb. I really think this Win8 push for the tablet with touch optimization and Mango's goal of integrating Apps into the experience will get Apple off their duffs.

        At home and for work, I use Ubuntu, Win7, and I will use ChromeOS asap...typing this from an iPad. Have fun with the decision, and if one of your two friends (and rare users) will really show you some of the hubs on WP7 you might see what I mean about the interface and usability. Out of the three it is the one I prefer to carry the most, the iPhone is next, and at some point i will have to pull the battery of one of the other two so that i will give the Android a fair shake. (the Android xbmc remote is great) That's just my opinion. Have fun making yours or get a multiSIM so you don't have to! Nothing wrong with using multiple vendors.

        1. Richard 12 Silver badge
          FAIL

          WP7 does not sync to Outlook

          I know that sounds surprising, but it doesn't! At all!

          It can only sync to Windows Live or a *new* Exchange server.

          So if you're not running a newest-edition Exchange server and don't want to hand over all your data to Windows Live, you simply can't use a Windows Phone.

          Android and WM6.x however can sync direct to Outlook.

          The people I know who tried out a WP7 device said that the hardware was great - but the lack of basic contact-management functionality meant that it was simply not fit-for-purpose, so they took it back and got an Android instead.

    2. Anonymous Coward
      FAIL

      Nope.

      I don't want an iPhone, neither does my other half *.

      I won't go near Android, and neither will my other half **.

      * Irrespective of how good it is (and it IS good), we're not willing to replace PCs, media centre and laptops with Apple equivalents.

      ** It may be a good OS (I have some doubts), but neither of us are willing to run the security risk, nor are we willing to give our lives over to Google.

    3. MIc

      Iphone is a snore

      I find the lame ass grid of icons to be lame and monotonous. I'll take a WebOS or WinPho 7 before I did iPhone.

  8. NX1977

    should have gone android

    Why didn't Nokia use the highly customisable Android base like HTC has done and focus on a front end interface and their forte hardware.

    Most people who've left Nokia ownership miss the hardware quality but don't want symbian or winmob.

    Nokia need to realise this, and quickly.

  9. Anonymous Coward
    Anonymous Coward

    We did *know* that Nokia was dying anyway

    Elop was just corporate euthanasia.

  10. fritsd
    Stop

    How well does it run

    Does Windows Phone 7 actually even run on any current Nokia phone model? Or are the requirements a bit higher?

  11. Anonymous Coward
    Flame

    Oh dear...

    "The idea of Windows-on-Nokia has great support from the operators, who have already counted out RIM, and don't wish to be faced with a duopoly of Android and Apple. Pundits should be more concerned that Microsoft, now Nokia's most important supplier, can maintain a reasonable place of development."

    Andrew, Andrew...the operators and you can say whatever you want but costumers buy what they want, not what someone wants to impose to them. It's funny, you turn from a Symbian supporter to a Winphone one now, why? Get over it, and in the way Elop and Ballmer, people dislike Microsoft on mobile. Period.

    I bought a new smartphone. Not a Nokia, not a Winphone, not a iPhone. It was one with Android on board. I just sidelined Nokia forever, and like me, many more. Got it?

  12. Andus McCoatover

    One way out...

    (and I'm not talking about Kari Kairamo, the Nokia CEO who topped himself in 1998...http://en.wikipedia.org/wiki/Kari_Kairamo)

    Consider:

    http://www.yle.fi/uutiset/news/2011/06/nokia_dismisses_microsoft_takeover_report_2637788.html

    and:

    http://www.wired.com/wired/archive/7.09/nokia_pr.html

    Let's just slam the lid shut.

    http://www.blackjackchamp.com/casino-news/8773-nokia-may-have-committed-suicide-by-picking-microsoft-7-over-android/

    Good article, Andrew. RIP, Nokia. Just keep paying my pension, ta muchly.

  13. Barney Carroll
    Gimp

    Market, legacy, destiny

    I used to be a massive Nokia fan. Their hardware was modestly excellent, their UIs were absolutely top notch, and their understated brand oozed elegance. From my subjective perspective, the smartphone killed them. They felt they had to build their own (their feature phone firmware was always great on a UX level), and they obviously invested massively into it. That's when they stopped being cool for me. I had massive difficulty visualising their future in that market, so the initial investment in those clunky Symbian devices, as opposed to Apple, HTC or even RIM's offerings, never struck me as serious.

    Having said that I really believe they are throwing the baby out with the bath water. What I see at the minute is a kind of negative capitalist speculation. The whole dump Symbian move to Meego confusion, rushing out that awful new corporate font with its hideously embarrassing bugs when the old one was still timelessly elegant, modern & distinctive, the humiliating Microsoft-courting when MS are known for bloated, distinctly un-hip and UX-hostile software and Nokia's legacy was that of a somewhat cultish but universal synonym for simple, intuitive mobile UIs… This combined with the drastic management shuffles and bleak confessional PR…

    They seem to be getting good at fire-fighting and turning to arson to keep themselves busy. As far as I can see they are leaping from drastic tactic to tactic without giving any of them the time to prove themselves.

    If they were slightly less suicidal in their "something must be done, jump now look later", I can imagine them having a bad patch as the underdog, learning some lessons, steadily improving what they have, coming back stronger from the mistakes. But on a gut level, the present apparent strategy of continuous firesale speaks to me of stupid desperation posing as bravado. They're repeatedly throwing away their historically strong points with no apparent alternative.

    And yeah, as a fanboi the MS deal just makes me cringe. The Americans were the problem in the first place.

    1. Anonymous Coward
      Trollface

      Depends how much influence Nokia have on M$

      How about this for an alternative analysis:

      iPhone stays niche. Apple can't stay a cool and influential brand if they are too mainstream.

      RIM stay as they are. Marmite UI popular with kids for BBIM and businesses for BES but ignored by adults who don't want to be seen as suits.

      Android goes the way of all Open Source OSes with competing versions and mutually incompatible software that can't be updated or run on all hardware versions. It rapidly falls out of favour with the public especially when people find out that Google uses it to constantly spy on their movements.

      This leaves WM8. Nokia's hardware is excellent, their supply chain peerless but their software has been buggy for years and their product range has lost its way.

      If Nokia can exert enough influence on Microsoft to write code from a mobile device mentality of small screen, limited processor power and conservation of battery life then they might, just might, be the mobiles to have in a few years.

  14. Spanners Silver badge
    Holmes

    It wasn't the Burning Platforms analysis

    It was what he decided to do about it.

    Nokia has a huge command of the stupidphone market, but these are just comodities and probably little profit there. For smartphones he had the following options

    1. Carry on with their existing OS.

    2. Make a new one

    3. Use someone else's

    They had stuck with option 1 too long and were sliding down the tubes ever faster with it.

    Making a new one could take years and the problem was now.

    They had to buy one in. So which one?

    a. Apple

    b. Blackberry

    c. Windows

    d. Android

    e. Something obscure that nobody had ever heard of.

    a and b were obviously non-starters. They werre in-house jobs so closed off.

    c had a minor market share and poor customer acceptance. It did however have a huge marketing machine and famously sharp business practices.

    d was growing hugely but defining your Unique Selling point is very important to executives.

    e. was pretty much the same as point 2 above. Too uncertain.

    They knew then they were going to follow someone else. Either MS or Google. It all comes down to which is more important - market trends (Android) or friendly and welcoming for the corporate mentality.

    1. shaolin cookie
      Thumb Down

      Option 2

      The same problem here as in Elop's speech on feb, ignoring the fact that option 2 wouldn't take years since it already existed. The one MeeGo device he's still agreeing to ship will go out before you see any WPs from Nokia. And with Qt it would've provided the existing Symbian users with an upgrade path, in fact the UI was to be copied to Symbian also to make it more competitive and smoothen the change.

    2. Richard 12 Silver badge
      FAIL

      Analysis fail there

      Nokia's big problem was that they'd gone with Option 2 several times - ditch the old, make a new thing. Everybody should be using this new thing!

      Roll on six months - again, ditch the old, make a new thing. Everybody should be using this new thing!

      Elop then repeated that, but this time saying "Our old things are crap, we have to buy a new thing from somebody else"

      That kind of tactic is a sure-fire way to alienate the customer and 3rd-party developer base, for one simple reason:

      I want to be able to use the stuff on my current phone on my next phone!

      Back in the day, that meant being able to copy my contacts, ringtones and wallpaper onto the new one. On a smartphone that means being able to do all the above, *plus* copy my daft games and useful apps onto the new one.

      So if I'm forced to lose everything except my contacts even by staying with the same phone manufacturer, then I might as well consider *all* smartphones and go for whatever I think is prettiest and *most likely to be able to keep everything next time*.

  15. Anonymous Coward
    Holmes

    WebOS

    WebOS was there to be taken. no Android, no Symbian, see? But who cares now?

    Sent from my Android :-)

  16. mr-tom
    Windows

    Nokia Shares

    In another 6 months, Nokia shares might be an interesting pick for the contrarian (and brave) investor.

  17. maccy
    Unhappy

    why windows?

    I said in the pub a year ago that if nokia brought out an android phone, I'd pay a lot to have it. Windows, not so much. I like windows on desktops, but it always seems a bit clunky. Windows phone is better, but not enough.

    OK I said it in a pub, so it's not like it has any value or anything. But now I'm sober I stand by it.

  18. ratfox
    Windows

    Jumping out of the sinking boat

    We all knew that Nokia was in trouble... but why MICROSOFT?

    Does anyone believe that Nokia would have been considered so doomed, had they gone for the Android route?

    Still do not know what the M$ icon is supposed to represent.

    1. Goat Jam

      Thumb up

      because I don't know what that icon means either.

      And another thing, and this is really bugging me, WHY DO I NOT GET A GUY FAWKES MASK OPTION!

    2. Andrew Orlowski (Written by Reg staff)

      Re: Jumping out of the sinking boat

      Because Google wouldn't cut them any special favours, and WebOS wasn't available.

  19. MS Rocks
    Go

    .....but android is rubbish

    I see we have the usual 'nokia should have chosen android' freetards moaning away on this thread. However, as per usual, none of them know what they are talking about.

    Android is an unfriendly, unstable, unsecure and unpolished phone operating system. It is free for a reason. I recently had the unfortunate experience of having to move from a WinPhone 7 device to an android device. It was horrible. It was like moving back a generation. Comparing android to winphone 7 is like comparing windows mobile to the iphone.

    Elop has chosen the platform that has the best long term potential. Sure, android will remain in use and people who want to make cheap and nasty phones for poor people will still use it as it is free. But if you want a classy, consumer friendly device that will appeal to the mass affluent marketplace (like the iphone) then the OS has to be windows phone.

    1. Spanners Silver badge
      Holmes

      Wrong I'm afraid

      What did you move to - a G1? A good android phone makes WhinPho7 look clunky, overcomplicated and ugly.

      Windows mobile phones seems to be a very niche market. I know people with iPhones, various sorts of Android and even a couple of Blackberries - seem to be getting popular with females. I only know one Windows phone user. I did meet a visiting executive with one last week. He came into IT to ask us questions about his. I thing he was intending to change to android as soon as possible. After helping him set things up, I could see why.

  20. EtonBears

    Eggs, meet single basket...

    One of Nokia's problems pre-Elop was that if you wanted a Windows or Android phone instead of Symbian, you couldn't buy a Nokia, whereas their competitors would supply all three.

    So, it would have been a much better idea to simply add lines of phones running both Android and WP7, whilst running down Symbian software development and emphasis.

    As is clear from other comments, and for different reasons, there are plenty of people that will not be interested in their new phones, whenever they arrive, and will ignore their current range and roadmap. Couple that with the subordination of the Nokia brand to the Microsoft brand in WP7, and it doesn't really look like a winning proposition in the Smartphone market.

    Perhaps they will make a better fist at recovering in the feature phone market, where their hardware excellence may prove a stronger selling point?

    Perhaps they will realise at some point that relying exclusively on a single company for their future software supply is a poor choice and diversify?

    It will be interesting to watch...

  21. J. R. Hartley
    WTF?

    Strange times...

    Nortel dead, Nokia dying, Skype worth $8.5b.

    What's going on?

  22. ScissorHands
    Thumb Down

    Only six months two late

    I bet Elop would've swooped in and grabbed Palm if he had been in place six months earlier. They would have hardware ready to go in a couple of months, and I bet Trolltech could whip up a WebOS QT library in the blink of an eye.

    Bu the also had to dump the whale (Symbian managers and subcontractors) overboard. He couldn't do it by keeping Symbian on life support. If you have to cut, do it clean, do it fast, measure twice and cut ONCE.

  23. gautam
    Go

    Switch to Android

    So much talk here about using Android instead of Windows.

    Can someone really point me out where and how I can port Android ( whichever version) onto my brand new Sony Ericsson Satio (still boxed after 3 attempts to use it) and Nokia N97? Would really appreciate it.

    Being so open source, surely some bright engineer ought to have figured out this dual boot options to save this burning platform/hard rock .

    It will create a great secondary market for this product and save everyone. Nokai would then become more multiplatform/ Open platform and carry on making good hardware.

    Why let thier ego come in the way and stick to one platform? Copy the Samsuns/ HTC and offer multiple OS choices to consumers. Anyone thinks with such offerings, consumers will abandon them.? They will prefer the OS of their choice and get on with life.

  24. Christian Berger

    Windows? Then what?

    I mean for the foreseeable future a WP7 phone will be exactly as useful as a good feature phone... for several times the price.

    It's completing in the "I just want a browser and don't know what DRM is"-market. And that market is already full with Apple with it's IOS as well as Google with it's Android, as well as hundreds of cheap Chinese companies trying to sell good feature phones.

    What might have been a success would be the Maemo approach. Take a full featured OS (in this case Debian) and trim it down until it fits on a mobile device. That actually creates a new, untapped market.

  25. Nabil Shabka

    Nokia blew it 1998

    I was one of those people who bought the first smartphone to ever hit the market back in 1996 - the Nokia Communicator. I idd this as I was convinced it was the future - too bad Nokia didn't realise this. Three 'bricks' later I switched to the Palm Treo as I gave up on carrying the Nokia brick.

    1998 saw the peak of a number of companies including Nokia and Microsoft. They were the big guys who just didn't get the changes that were occurring - and still don't.

  26. AdamWill
    Thumb Up

    Wow

    For once I entirely agree with Andrew. Shocking.

    You can agree with or disagree with Elop's approach to solving the gigantic problems Nokia has, on a pragmatic or an ideological basis. But the thing is, if the company had been vaguely sanely run before he showed up, _he wouldn't have a gigantic problem to solve_. Meego and the hardware on which it was to run might actually have been developed efficiently and well, and they might have had products in the marketplace in vaguely the right timeframe. It's painfully clear that this did not happen; whatever the merits of Meego, it's very hard to argue that it had any chance of being delivered on anything like a timeframe that would make it competitive. Or Nokia might have picked a different strategy which also might have worked. They didn't.

    Throw Elop out the window and you're still left with the biggest phone company in the world still trying to sell phones based on a platform that's an outdated, antiquated joke, which no-one in their right minds actually wants to use, up until at least 2012 (the vaguely believable date for any sort of mass-market phone based on Meego; the first was to have been a developer device in the same style as the N8xx / N9xx series). Even current Nokia fans tend to cite things like hardware design and quality - i.e. they're Nokia fans _in spite of_ Symbian, not because of it any more.

    Why blame Elop for the sins of his (metaphorical) fathers? You can argue that he might have switched to Android and not WP7, sure. But don't kid yourself; that would have caused most of the same consequences _right now_ for Nokia.

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