Microsoft announces 18 billion dollar market capitalization since Nokia deal

NetEase Technology News September 6, according to Bloomberg reported, since the announcement of 7.2 billion U.S. dollars to buy Nokia's mobile phone business, Microsoft's market value evaporated 18 billion U.S. dollars, so last month, CEO Ballmer (Steve Ballmer) will retire after the news of the rise in the price of the stock growth. The deal has dashed investors ' hopes that the new CEO will bring a fresh start. Brokerage Atlantic Equities points out that the deal will underpin Microsoft's move to move to a fickle consumer-equipment industry, which Steve Ballmer, the outgoing Mr Ballmer, has little room for a successor to take a different path. Microsoft is trying to chase the device business in a market already dominated by Apple and Google, which is less profitable than its business software business. Sanford C. Bernstein & Co said that as part of the deal, Stephen Elop, the CEO of Nokia, would return to Microsoft, and he became the hottest successor to Ballmer, heralding Microsoft's long-term involvement in the smartphone hardware market, Although some shareholders consider the strategy inappropriate. "I can't get excited about the deal," Tim Schwartz, Schwartz Investment fund manager at investment consultancy, said in a telephone interview, "Our feeling is that Microsoft's old management and old ideas will continue." "Microsoft August 23 announced that Ballmer will retire in the next 12 months, the same day, the shares rose 7.3%. Sector investors are hoping his successor will be a bold move to reverse the slump in market capitalisation, with bold moves to spin off consumer businesses like the Xbox and shift the focus back to business-oriented software and services. The takeover of Nokia's equipment and services sector has sparked speculation that former Microsoft executive Elop is likely to take over Microsoft reins and continue to implement a two-pronged strategy for corporate and consumer products. Microsoft's shares have fallen 6.6% since the deal was announced and dropped to $260 billion by market capitalisation yesterday. Microsoft's shares rose 0.13% per cent today to 31.24 dollars. "Quite a few investors had hoped that Microsoft would stop focusing on consumer business and focus on more lucrative and predictable business operations," he said. Chris Hickey, an analyst at Atlantic Equities, said in a telephone interview that "the acquisition clearly makes the possibility very slim and will bind the next CEO." "Microsoft points out that Nokia's mobile phone business will help it gain more from Windows Phone, helping companies move faster and create better products in a market that is critical to their success." More deals? Jason Maynard, analyst at Wells Fargo Bank, Jeson MenadeMicrosoft will need to get more apps and services if it wants to improve its strategy to emulate Apple's integration of devices and services, the study wrote. BlackBerry's strong influence in the corporate market could also be a source of interest to Microsoft, according to anonymous sources. BlackBerry shares have risen 6.2% since the news of Microsoft's acquisition of the Nokia handset business. According to data compiled by Bloomberg, Microsoft has paid 0.42 times times as much as the unit's annual revenue forecast for the equipment and services sector, which is valued at $4.8 billion trillion by the company. Atlantic Equities's Hickey points out that if the BlackBerry is really acquired, Microsoft will be more focused on its consumer-device business struggles. Nandan Amladi, an analyst at Deutsche Bank, Dan Anradi that the Nokia deal does not bring much more to the company than it has acquired from its tie-up with Nokia. "They have already had cooperation agreements before, so people don't understand why Microsoft buys an asset that has a declining revenue and a challenging profit margin," he said in an interview. "(Lebang)