Nokia, Motorola Branching Out With New Ownership

Nokia 8Hermann / Pixabay

The practicalities of the market place are changing what were once cast-iron preferences for a single operating system for both Nokia Corporation (ADR) (NYSE:NOK) (BIT:NOK1V) (HEL:NOK1V) and Motorola Solutions Inc (NYSE:MSI). Now, both companies are exploring multiple operating systems as consumers force the companies hands. When Google Inc (NASDAQ:GOOG) (NASDAQ:GOOGL) acquired Motorola in 2012, in did so for its patent portfolio more than it did for its handset business. Motorola was also one of the first companies to wholly embrace Google’s Android operating system.

New ownership brings new strategies

Google Inc (NASDAQ:GOOG) (NASDAQ:GOOGL) is in the process of handing Motorola Solutions Inc (NYSE:MSI) over to Lenovo Group Limited (ADR) (OTCMKTS:LNVGY) (HKG:0992) and the company has already said that it intends to begin shipping Windows Phones. A phone bearing the Motorola brand running something other than Android? In the past, the company eagerly built on top of Android. The fact that with the Moto X a user needed only to say “OK Google Now” and it would launch a search for the user shows the integration between the two.

Lenovo purchased Motorola Solutions Inc (NYSE:MSI) with the intention of building its North American market. That market is seeing more and more people taking up the Windows Phone operating system and Lenovo looks as though they will try to capture that market with a Windows Phone of their own, something that just wouldn’t have happened under Google ownership.

The Nokia X family

Microsoft Corporation (NASDAQ:MSFT) is another example of ownership changing the way phone makers are going about their business. Between the announcement that the company would be purchasing Nokia Corporation (ADR) (NYSE:NOK) (BIT:NOK1V) (HEL:NOK1V) and the deal being finalized last month, Nokia did the unthinkable and released a family of phones that ran Android. It’s nearly impossible to believe that this was done without Microsoft’s permission. It also shows the divide in opinion between former Microsoft CEO Steve Ballmer and newly appointed CEO Satya Nadella. Ballmer, it could be argued, was overprotective of Microsoft products while one of Nadella’s first moves as CEO was to release Microsoft Office for the iPad.

The X family of phones runs most Android applications, but the company has moved away from Google Inc (NASDAQ:GOOGL) (NASDAQ:GOOG) mainstays like Gmail, Maps and Google Search and replaced them with Outlook, Bing Maps, and search using Bing.

Whether or not Microsoft Corporation (NASDAQ:MSFT) continues to build the X family phones remains to be seen. Certainly the company would prefer to see more and more people latching on to Windows Phones, but in the meantime might they not wish to lose more to Android as they work on getting Windows up to snuff.

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About the Author

Brendan Byrne
While studying economics, Brendan found himself comfortably falling down the rabbit hole of restaurant work, ultimately opening a consulting business and working as a private wine buyer. On a whim, he moved to China, and in his first week following a triumphant pub quiz victory, he found himself bleeding on the floor based on his arrogance. The same man who put him there offered him a job lecturing for the University of Wales in various sister universities throughout the Middle Kingdom. While primarily lecturing in descriptive and comparative statistics, Brendan simultaneously earned an Msc in Banking and International Finance from the University of Wales-Bangor. He's presently doing something he hates, respecting French people. Well, two, his wife and her mother in the lovely town of Antigua, Guatemala. To contact Brendan or give him an exclusive, please contact him at theflask@gmail.com

1 Comment on "Nokia, Motorola Branching Out With New Ownership"

  1. Methinks the author has his Motorola’s mixed up. MSI is not the Droid co. Motorola Mobility (MMI) is.

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