Nokia Corporation (ADR) (NYSE:NOK) (BIT:NOK1V) (HEL:NOK1V) admits that despite the progress it made with its smartphones, its products will continue to struggle against major competitors such as Apple Inc. (NASDAQ:AAPL) and Samsung Electronics Co., Ltd. (LON:BC94) (KRX:005930).
Brian Biniak of Nokia criticizes Microsoft
Brian Biniak, vice president and general manager of app development at Nokia Corporation (NYSE:NOK) (BIT:NOK1V) (HEL:NOK1V) criticized Microsoft Corporation (NASDAQ:MSFT) for playing catch up with its mobile operating system, and blamed the software giant for the lack of apps in the Windows Phone in an interview with the International Business Times.
Biniak emphasized that Microsoft Corporation (NASDAQ:MSFT)’s Xbox brand managed to overcome the competition in the gaming console market, which was dominated by Sony Corporation (NYSE:SNE) (TYO:6758) and Nintendo Co., Ltd (TYO:7974) (OTCMKTS:NTDOY) after releasing exclusive titles such as Halo. According to him, the software giant needs to do the same with the Windows Phone operating system.
“To give you a reason to switch, I need to make sure the apps that you care about on your device are not only on our phones, but are better. I also need to provide you unique experiences that you can’t get on your other devices,” said Biniak
Windows phone apps vs Apple’s iOS apps
Currently, the Windows Phone has 165,000 available apps compared with Apple Inc.(NASDAQ:AAPL)’s iOS has more than 900,000 available apps and Google Inc (NASDAQ:GOOG)’s Android OS has more than 1 million available apps.
Biniak said Nokia Corporation (NYSE:NOK) (BIT:NOK1V) (HEL:NOK1V) is missing the opportunity to sell its handsets when a particular app that is important to a consumer is not available in the Windows Phone. He said, “We are releasing new devices frequently and for every new device, if there is an app that somebody cares about that’s not there that’s a missed opportunity of a sale.”
“We are trying to evolve the cultural thinking [at Microsoft] to say ‘time is of the essence.’ Waiting until the end of your fiscal year when you need to close your targets, doesn’t do us any good when I have phones to sell today,” added Biniak.
New Nokia smartphones increasing competition
Nokia Corporation (NYSE:NOK) (BIT:NOK1V) (HEL:NOK1V) developed is doing its part in innovating its hardware. Its latest smartphones are competitive such as the Lumia 920, Lumia 925, and the Lumia 1020, which is integrated with the best imaging hardware (41-megapixel camera). During the second quarter, the Finnish smartphone manufacturer sold 7.4 million Lumia Windows Phones, an increase of 32 percent quarter-over-quarter. However, the company still missed the earnings expectations of analysts.
Biniak pointed out that the success of Nokia Corporation (NYSE:NOK) (BIT:NOK1V) (HEL:NOK1V) does not only depend on its hardware, but also the tools that goes with it. He said, “It’s not just about the hardware, it’s about the tools that are on the hardware. You can’t sell a phone without the apps, you just can’t.”
Biniak also indicated that Nokia Corporation (NYSE:NOK) (BIT:NOK1V) (HEL:NOK1V) and Microsoft Corporation (NASDAQ:MSFT) are working together to bring important apps to the Windows Phone.