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Nokia's Tero Ojanper� on Solutions and strategy

38 replies · 10,332 views · Started 11 March 2010

snoFlake wrote:Some extra food for thought

Eurostoxx 50 Index 12th Mar 2009 1962, 12th Mar 2010 2896(ish) + 47%
Apple 12th Mar 2009 $96, 12th Mar 2010 $226(ish) +135%
Nokia 12th Mar 2009 E8.6, 12th Mar 2010 E10.80(ish) +25%

A lot of arguments being propounded on these forums sound so like comments being made on SE forums such as Esato back in 2008 that nothing was wrong and great things are coming soon, it's worrying. The great things are always just about to come out not here and now.

We've seen a lot of Lee Williams walking around conferences or sitting behind his desk telling us how great and amazing Symbian is well they better deliver cos time really is running out much more than I think some believe.

Stock market prices do not always have a direct relationship to future performance. Plus a direct Apple / Nokia comparison while interesting is a bit misleading given their business do not overlap like for like. I think you could probably look at things like EPS and multipliers and see there's a lot of anticipation of continued outstanding performance in the Apple price. Interesting one though - anyone else got comments here?

And yes I know the talk feeling only too well, but S^3 and S^4 really are on the way and there's a lot of other inaitives (Ovi developments, Qt, Solutions group). That's a big difference compared to SE - there is real evidence to look at. The one thing missing is devices (no suprise there - they wont talk about them until 3 months before launch - so guessing not long to wait).

Yes it's all abut execution, but I think people need to let this happen. Maps is a great example - hard to argue against this one really.

BTW I don't think Nokia will be out of the woods here even with S^3 (improvements for sure though).

And, in the meantime, Nokia's doing well (see last quarter) with Symbian^1 etc... You can't write off going from nothing to be the biggest producer of touchscreen smartphones as nothing. Look at the performance on Nokia Maps, Ovi Store, Nokia Messaging in just the last few months as being positive recently - there's devices like the 5230, Eseries range, N97 mini too.

As ever Rafe thanks for your considered response.

If it sheds any light on where I am, I think that Nokia unlike SE for so long (how they came to throw away their technology lead with a touch UI in UIQ and the P series which allegedy inspired Steve Jobs to create the iPhone will be a case history for business schools in the future) do know they've got issues and I think they do have a coherent vision of what to do about it (unlike SE) and they are implementing it even if one doesn't agree with it - I do as it happens. However as you say it's the execution, they seem to have frittered away years before and after the iPhone either not being ambitious for future platform development or being blinkered and then not taking on board what the iPhone has changed (I'm still not sure they get the competent finished software part) and the waste of 2008 to mid 2009 remains a deep concern as it came at a time when there is an open sorce (ish) genuine platform competitor and the world and his dog have just woken up to the explosion in mobile platforms and there are troops of competitors hoving over the horizon - it's not a time to be working out what platform you want to be meeting them with, it should be in palce and being executed competently and reliably alreaady.

Here's hoping Sissu (?) wins thru.

snokFlake - spot on there. I'm optimistic too, but there are areas that I have concerns (integration of digital content into the home [ecosystem] as one example).

The three factors which I find I have to remind myself of are

- Not just about high end. Try to see outside my own market. Still struggling with how these markets interact etc. This is the global - all segments thing too.

- Nokia have a history of doing their own thing and coming back 'strong'. Yes, as you say Sisu... I guess this is also another way of saying things move slowly in big companies (even in mobile). But being big confers its own advantages.

- Despite pervasive media coverage (esp. online) there are real positives in the last 12 months. Low cost smartphone devices on market right now, Messaging operator deals for example - hard to thing of similar speed of ramp up in its catgeory (esp given delicate manufacturer / operator dealings).

UIQ - absolutely - though I think business is littered with these 'in hindsight' moments...

I think you're missing the point, a fail does not become a success because it's global; it becomes a global fail.

Right now almost all the Ovi services are liabilities, they make Nokia phones less attractive than a rival phone loaded up with Spotify, Google Maps, Gcal, Flickr, good games etc. Ovi Sync, Ovi Contacts, Ovi Games, Ovi Music - see what I mean? Ovi is third or fourth rate in every category except Maps, maybe.

The point I was making was that Nokia re the only ones with a properly coherent global strategy (at the moment).

Pure management-speak. (As defined by Tero). Do you think RIM and Apple are suffering from this? They seem to be using device profits to expand?

Nokia is firstly an innovative hardware company. When they come out with guff like that, you begin to wonder if Nokia has forgotten what that means.

"If you look at Nokia service division in the quartely reports you'll see they are currently making money from services (though I'd be the first to say this depends on how you account for revenue).

Unregistered wrote:I think you're missing the point, a fail does not become a success because it's global; it becomes a global fail.

Right now almost all the Ovi services are liabilities, they make Nokia phones less attractive than a rival phone loaded up with Spotify, Google Maps, Gcal, Flickr, good games etc. Ovi Sync, Ovi Contacts, Ovi Games, Ovi Music - see what I mean? Ovi is third or fourth rate in every category except Maps, maybe.

I think how you rate them depends on your circumstance and their availability.

Spotify - I like it myself on the desktop, but don't want to pay �120 a year for mobile access (PAYG for, �60 ish premium for CwM looks OK too). Plus limited availability compared to Nokia Music Stores...

Flickr - yes Ovi Share needs improving - there's cost too, but the point is you can use either on the Nokia devices (or Facebook for photos for that matter).

Agree Sync and Contacts need improving - not sure how main stream they though.

Messaging is fairly strong (especially in terms of support for different email services).

Ovi Store had a rocky start, but seem to be doing OK now. Certainly a much easier way of getting new apps etc on the phone.

Games - yes, agree, a lot of that is about hardware (possibly one the weakest area if we're talking eye candy games).

I agree in some area you can find better third party stuff, but the ready out of the box is what most people end up using.

So no I don't think the Ovi services make the handsets less attractive. The opposite is true. The free navigation things seems like it could be especially compelling if its one of the three bullet items ona phone shops description panel.

Rafe you hit the nail on the head when you say most people end up using what's on the handset. Then you agree with me that most Ovi services are inferior. Real World scenario: a guy has a Samsung phone and they've gone out of their way to make Google Maps, email, Flickr, Facebook etc easy to use. Next to him is a guy using a Nokia, where they're pushing their inferior Ovi services really hard.

Which of the two is having a happier User Experience?

Which one is more likely to thank the manufacturer for making their life easier?

Which one is likely to return to the same manufacturer?

Rafe wrote:So no I don't think the Ovi services make the handsets less attractive. The opposite is true.


Sorry but that isn't logically supportable. Of our two users, Ovi Man is going to be the less happy. And as for Ovi Girl, who already uses Facebook,GMail,Flickr... ?

(I've seen this in the Real World, Ovi perception is so bad people want their phones "debranded", instead of "How do I get rid of this Vodafone crap" it was "How do I stop all this Ovi stuff starting".

Trying to create me-too web services and doing them badly is very damaging for the brand.

Er no. While I think some of the Ovi services aren't up to scratch I think the four mains ones (and notably the ones that are 'pushed' on the phone): Music, Store, Messaging, Maps (in rough ascending order) are decent. Always room for improvement and such judgements are quite subjective. Ovi Mail is a good example (look usage patterns in different markets). Little interest in Europe (where we all have existing accounts), but popular with first time email users.

Interestingly all the services you mention (except Google Maps) are available out of the box on most recent new Nokia devices (Facebook client, upload to Flickr (Share online), Gmail through Nokia Messaging (with easy set up and push).

and of course if someone wants Google Maps it is available... choice.

Sorry but what a tit.
Let me put it like this, every service he mentioned is a failure. I don't mean to Nokia bash because the software they're releasing at the moment is great stuff (QT).
However, I've a number of apps on the store. Some I've reduced to �1, and at that price point I'm actually making no money on certain sales. For example in the US where �1 equates to 75 cents and sales taxes are paid and where operator billing is in operation, I will get 20 US cents per sale. That just about covers my partners fees. So I make no money... even on the tiny number of sales. But of cource Tero wants me to succeed - Listen Tero, you want me to develop apps for Nokia, get rid of operator billing, it's a joke. You're a joke.
I've moved to Android.