Microsoft Nokia strategy: by selling smartphone sales-Microsoft buy Nokia, Microsoft, Nokia-IT news Microsoft Nokia strategy: by selling smartphone sales
News of the past few days, Microsoft-related--2014 quarterly fiscal year, announced layoffs of 18,000 people, is responsible for the equipment business Executive Vice President Stephen Elop (Stephen Elop) released on size optimization of memorandum about Nokia mobile phones businesses clearly reveals Microsoft's strategy.
As Apple's iPhone and Google's Android to dominate the Smartphone market, replacing the feature phones and other smart phones, Nokia is one of the many troubled mobile phone manufacturer. Rumors had been circulating for years about the Microsoft is interested in buying Nokia. Microsoft announced the acquisition last year when Nokia, there will naturally be concerned about one question: how Microsoft plans to make money by continuing bloodshed at Nokia mobile phones businesses.
Nokia's mobile phone business is still losing money last quarter Microsoft earnings per share reduced by 8 cents (about 0.49 dollar). However, the advantage of Microsoft's cloud computing business, as well as Microsoft's Chief Executive, sadiya·Nadela (Satya Nadella) awareness Nokia's loss of tolerance to impress analysts. Microsoft's Chief Financial Officer, aimi·hude (Amy Hood) said during the earnings conference call with analysts on Tuesday, Microsoft expects Nokia to do break-even in 2016.
Managing Director of investment firm FBR Capital Markets dannier·aiweisi (Daniel Ives) that missed opportunities after 10 years, Nader indicated that he got an objective understanding of Microsoft. Investment company France aide·makuier, a senior analyst at CLSA (Ed Maguire), "said Nader in the fight", and Nokia's cloud computing technology as a way to sale.
Stephen Elop on July 17, described in a memo to its employees a cost-cutting plan. Device business unit will focus on the high-and low-end Windows smart phone out feature phones and Android smart phones. Smart devices and mobile phones businesses combined, overlapping sectors and cut dead wood. Microsoft's in Beijing cuts and research and development operations in San Diego, located off Finland Oulu Research Center. Microsoft will stop in Hungary to build handsets, shifting manufacturing operations to Brazil, and Mexico and other regions with low labour costs, reduced manufacturing operations in Beijing and Dongguan.
On the same day the media reported that Microsoft will give up within the next 18 months to run x, Asha and Nokia Series 40 series of Android smartphones.
In Tuesday's earnings conference call with analysts, Nadela revealed that Microsoft plans to make money by Nokia . He said that equipment business unit "is not limited to" hardware, but a productivity-oriented, "I can use Office Lens App, using a mobile phone's camera, photographing documents, then using OCR (optical character recognition) approach document, import the documents into OneNote. By focusing on productivity, us in mobile phones has bright prospects. " In other words, it is a tool to sell other products to sell the Smartphone.
Maguire noted that, over time, Microsoft will only produce high-end mobile phones, may close or divest more of its manufacturing assets.
Managing Director of investment firm Evercore KEKE·mateen (Kirk Materne) pointed out that the new generation Windows--Windows9, will also support mobile phones, tablet computers , PC and game console, that will enhance Microsoft's efficiencies and offer new opportunities for Microsoft.
