Microsoft buys Nokia: Expected one stone bird deal

Microsoft's takeover of Nokia's mobile phone department is not a surprise or even a surprise. For both parties, this is the most reasonable outcome of the current situation. (Note: Nokia retains network equipment and maps business.) The former giant Nokia, once the world's first in 14 consecutive years, has become the asset of software giant Microsoft and Google, just like its former rival, Motorola. Once the glorious rain blows the wind, this scene is always sad. But people have to face the reality, now the Nokia "committed" Microsoft is not a bad result; in the long run, this transaction is conducive to the future development of Lumia and even the entire WP platform. News of the two companies ' takeover talks was already being blown up by the Wall Street Journal a few months ago. It was reported that the two sides did not agree on the price of the deal, so the negotiations stranded. Both Microsoft and Nokia declined to comment on the news. When Nokia unveiled its flagship new Lumia 1020 in New York in mid-July, Elop, the Nokia CEO, continued to answer any questions about Microsoft's takeover rumours or Nokia's future trading prospects when he interviewed Sina technology. I had vaguely guessed at the time that the deal must have been real and that there was a possibility of moving forward. When Steve Ballmer, Microsoft's CEO, suddenly announced his early retirement half a month ago, he was Ballmer as a popular candidate for his successor, even surpassing Microsoft's former Windows director Steve Sinnowski (Steve Sinofsky) Or the incumbent COO Kevin Tena (Kevin Turner). This further increases the likelihood of Microsoft acquiring Nokia. With the constant chrysalis of American technology Media, the behind-the-scenes details of the early resignation of Ballmer are emerging: the growing pressure on investors is a key factor. While Mr Ballmer was in charge of Microsoft, he has consistently missed a number of major opportunities in the industry, especially in the mobile arena, while watching Google and Apple rise and take on an unshakable edge. It is no exaggeration to say that the failure of mobile strategy is the biggest factor in Ballmer's class. Connaught Micro: Interdependent Partners since Microsoft launched Windows Phone 7, the new Mobile smartphone field, after more than three years, WP mobile phone now only won the global market share of 3.7% (IDC this year's second quarter data), just barely beyond the twilight of the BlackBerry, Become the world's third-largest smartphone platform for embarrassment. Microsoft's smartphone strategy still faces a huge challenge, compared with a market share of nearly 90% per cent for Google and Apple. Perhaps the most important achievement of the mobile strategy for Microsoft is an alliance with Nokia. Although the WP camp also has HTC, Samsung, Huawei and ZTE Partners, but in fact, the only decisive strategic partner is Nokia. In addition to the core to do the Microsoft mobile phone Nokia, other "small partners" are half-hearted, in the WP platform is more superficial, all focused on Google's Android platform. In the second quarter of WP mobile phone shipments, Nokia Lumia mobile phone accounted for nearly 82% of the market share, in view of HTC's share of more than 10%, which means Samsung, Huawei and ZTE three in the WP platform total accounted for less than even 10%. Without Nokia's full investment, without Nokia's industrial design and brand appeal, it is almost certain that Microsoft WP phone will only be source. On the one hand, Nokia has completely abandoned the possibility of dual-Habitat Android platform, focus on the WP platform, in exchange for Microsoft's huge financial support, but also put their fate entirely on Microsoft. On the other hand, Microsoft's smartphone platform has almost become a solo of Nokia, and Microsoft's mobile strategy relies entirely on Nokia. Once Nokia changes, Microsoft's WP platform will collapse. So, to a certain extent, Microsoft and Nokia are tied together by the Grasshopper, who can not leave each other. And the scale is still slightly in the way of Nokia, Nokia is no longer able to choose Android, but Microsoft can no longer find such as Nokia's loyal and power partners. Now smartphone giant Samsung? They are only in the WP field in the soy sauce, to deal with Microsoft's Android patent licensing conditions attached. Therefore, it is puzzling to think back to some of the "pit-mates" before Microsoft. Re-build WP 8 system completely discard WP 7 mobile phone; Before the Nokia WP 8 new equipment has not yet listed, Microsoft in advance sentenced WP 7 of the death penalty, which directly led to the Nokia face for up to three months of lean. That time was also the most sluggish period for Nokia. Perhaps in the desktop domain for many years of Microsoft, the brain does not have the "partner" the true meaning, will only be independent forward, does not mean the partner's situation. Microsoft: The acquisition of a much-done deal is perhaps the last legacy that Ballmer left Microsoft before he stepped down. Microsoft is the biggest beneficiary of the deal. With just 7.2 billion dollars to take the Nokia mobile phone, Microsoft not only won the Nokia's powerful hardware design and manufacturing capabilities, Nokia has a huge global brand influence, but also completely locked the most important WP camp power. The deal will have far-reaching implications for Microsoft's smartphone strategy. In Ballmer's Microsoft transition strategy, equipment and services are two key words. In addition to the desktop, Microsoft seems intent on other fronts to emulate Apple, taking the hardware and software combination of the device path. After the acquisition of Nokia mobile phones, Microsoft WP software and Nokia hardware can be more effective combination, Elop can be integrated WP software and hardware design, the introduction of a more complete Nokia Lumia products. At the very least, Nokia will not have to appeal to developers to launch apps. As Nokia shares more than 80% per cent of the WP platform, Microsoft does not have to worry about the Android camp partner's response, as Google acquired Motorola Mobility. This deal is for the health of the WP camp.State relationship impact is very small, because other partners do not value the WP platform, and has not been seriously put in. Of course, Microsoft has always been indifferent to the reaction of partners, the sudden introduction of the surface brand last year has made many OEM manufacturers worried. However, the merger of Nokia into Microsoft's operations will be a challenge for Microsoft. Google's acquisition of Motorola Mobility is mainly for patents, in order not to affect the Android ecosystem, Google almost deliberately coldly deal with Motorola's relationship, let Motorola fend for themselves. But unlike motorcycles, Nokia is at the heart of Microsoft's smartphone strategy, and the demise of Nokia means Microsoft's total failure in the handset sector. As a result, Microsoft is likely to continue to pay attention and resource tilt to the takeover, as it does with Skype. Profits are also a big factor in Microsoft's acquisition of Nokia handsets. Prior to the acquisition of Nokia, Microsoft could get $10 trillion in gross profits from each Lumia handset, and after the acquisition, Microsoft could get more than $40 from each Lumia handset, according to AllThingsD, the US technology blog. That means the deal will be rewarded if Microsoft sells 25 million of Lumia handsets. In addition, the US Securities and Exchange Commission (SEC) shows that Microsoft currently has as much as $76.4 billion trillion of foreign cash reserves. And if the cash is to be remitted back to the US Congress and face high tax rates, and with foreign cash to buy Nokia, Microsoft can also use its foreign cash reserves and spend it wisely. For the global Chichi Lumia users, the main factor that attracts them to buy handsets is Nokia's brand value and unique hardware design, not Microsoft's mobile platform. As a result, Microsoft, after acquiring Nokia handsets, should be cautious about maintaining the Nokia brand and keeping the Nokia brand attractive to its users. This is particularly critical. Once the Nokia brand fades from Microsoft, the implications of Microsoft's deal will be greatly compromised. Nokia: Transforming network equipment services on the other hand, the deal, though somewhat sentimental, is a result they can now accept. After the rapid popularity of smartphones, which are represented by Apple and Google, the biggest task for Elop and Nokia is to have a sustainable share of the smartphone sector before it completely exits the market. The market for functional handsets is shrinking sharply, and the smartphone business has not matured, which is the main factor leading to a continued decline in Nokia's revenues. In order to fully put on the WP platform, Elop cut off the two platforms, Symbian and Meego, many Nokia loyalists have been hated. Rejecting the Android platform was the most controversial decision by Elop. Although the tough times, but now Nokia has embarked on the road to recovery, Lumia quarter sales sharply to 700多万部, is expected in the next six months to close the "quarterly sales of millions of clubs," the front-line mobile phone manufacturers camp. Under the current Lumia growth rate, Nokia is also expected to be in the smartphone field before the full return of the feature phone to stabilizeSales. (Given the sharp growth in the Chinese market for Android phones, Lumia phones need real sales, not the overall share of the WP platform.) In addition, after being acquired by Microsoft, Nokia can not worry about the company's living condition for the time being, devote more energy and resources to the follow-up research and development of Lumia handset, take out the flagship new product of software and hardware, and further enlarge the market sales with the help of Microsoft's huge marketing investment. Pure from the future research and development of products, Microsoft acquisition is conducive to Nokia to introduce more hardware and software combination of good products. Nokia spent 1.7 billion euros earlier this year, buying back the remaining shares of Nokia's Siemens Communications Company (NSN). Perhaps the deal has laid the groundwork for the sale of Nokia's mobile phone division. NSN's development opportunities in the 4G LTE era, the commercialization potential of Here map, the Nokia board to consider abandoning the lucrative mobile phone hardware department, and become a service and network equipment company. Elop: A doomed controversial figure but for Elop, he is destined to be the most controversial figure in the history of technology companies. As a result of previous Microsoft Senior Manager's identity, Elop has never gotten rid of the "Trojan horse" question since he joined Nokia, and he has taken a series of decisions to deepen outside suspicion. Under his leadership, Nokia has given up on Android and WP's two-legged walk, abandoning the Symbian and Meego platform, wiping out Nokia's own mobile platform, and finally selling the Nokia handset department at a price of 5 billion dollars. More Ironically, Elop is the top candidate for Microsoft's next CEO. Now, after Microsoft's takeover of Nokia's mobile phone division, Elop returned to becoming Microsoft's top executive again, making the possibility of Banbaulmer a step-by-step reality. Elop, once the head of Microsoft's office, has proven its ability to operate within a few years of Microsoft and has good connections within Microsoft. In addition to the rich accumulation of Microsoft's best corporate-class market, Elop has gained experience in hardware operations within three years of Nokia. He Banbaulmer to help Microsoft to further promote the transformation of equipment and services strategy. Whatever the "Trojan" question he faces, all of his important decisions at Nokia are carried out with the support of the board. As Nokia's first foreign CEO, Elop would not have been able to accomplish any major decision without the full support of the board. He was in the midst of a period of Nokia's transformation, leading Nokia to opt for an alliance with Microsoft, and finally selling the handset department to Microsoft. The decision to raise the controversy behind each step is the agreement of the Nokia Board of directors. Elop is not so much a Trojan horse as Nokia's board of directors chose to give up. Microsoft's takeover of Nokia's mobile phone division was the most important legacy Mr Ballmer left to Microsoft before retiring. Through this transaction, Microsoft has made a solid step towards the transformation strategy of equipment and service, finalized the long-term guarantee of the WP camp, the most effective use of the seaExternal cash reserves; Nokia has been transformed into a network equipment and service company from the hard competitive and profitable mobile hardware field, and Nokia has been able to get more resources support from Microsoft, which is beneficial to the further integration of WP software and Lumia hardware. , and Elop is getting closer to Microsoft's CEO. Perhaps the only sentimental thing in this one-stone-bird deal is Nokia's hundreds of millions of loyal users around the world. The former mobile phone giant Nokia is no longer in existence, the future exists only Microsoft's subsidiary of Nokia. Whatever the way Nokia is, Lumia phones will continue to grow and the future will be better.