Nokia Chairman Speaks Of Company’s Future

Nokia Chairman Speaks Of Company’s Future
Hermann / Pixabay

Time will speak volumes when it comes to the acquisition of large parts of Nokia Corporation (ADR) (NYSE:NOK) (BIT:NOK1V) (HEL:NOK1V) by Microsoft Corporation (NASDAQ:MSFT). On the surface, it’s easy to applaud the purchase given the price. It’s equally easy to criticize Microsoft for the position it has put itself in, and the “cop out” this purchase could come to be. However, as I’ve said before, Microsoft bought Nokia with money kept offshore that would never have found its way back to domestic coffers.

Nokia Chairman Speaks Of Company's Future

Nokia has a bright future

No matter the pundits or your immediate thoughts on the acquisition, Nokia Corporation (NYSE:NOK) (BIT:NOK1V) (HEL:NOK1V) Chairmain Risto Siilasmaa says the company’s future will be shaped by three businesses. He’s also certain that Nokia has a bright future.

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“Nokia will look very different without the mobile devices and services business,” Siilasmaa said. “But it will be a strong company, with healthy finances and three strong businesses: NSN, Here, and Advanced Technologies — each a leader in technology and innovation.”

Nokia Solutions and Networks, or NSN, sells and leases its innovations all over the world.

“NSN is the mobile broadband specialist and especially strong in LTE,” the chairman said. “With our strong and focused investment in R&D, we will continue to launch uniquely innovative solutions such as the Liquid Applications that was announced in Barcelona earlier this year.”

Nokia’s here functions

Nokia could be used by anyone who struggles with English and points at their phone. Nokia’s Here is an altogether different animal. Nokia Corporation (NYSE:NOK) (BIT:NOK1V) (HEL:NOK1V)’s Here offers real-time traffic reports, maps, and other cloud-based benefits to drivers of Internet-connected cars. Here also recently signed an agreement last week with Mercedes as they move forward with self-driving cars—something that anyone who can afford a top-end Mercedes is already acquainted with, given its ability to override a driver too busy closing a billion dollar deal on the phone to focus on not crashing.

“Here is already available in four out of five cars with in-dash navigation and we have mapped millions of kilometers of road across the world,” Siilasmaa said. “And we’re committed to continue to extend our coverage.”

Nokia’s Advanced Technologies

Lastly, Advanced Technologies—think of Nokia Corporation (NYSE:NOK) (BIT:NOK1V) (HEL:NOK1V)’s Advanced Technologies as its Q Division of James Bond fame.

“Nokia’s investment in research and development also helped us build what we believe is the largest and strongest intellectual property portfolio in our industry, with around 10,000 carefully selected patent families,” Siilasmaa said. “We’ve already established a successful patent and technology licensing operation, which we will expand to continue to drive revenue and profit for Nokia through the new Advanced Technologies business.”

If this is to be believed, Nokia Corporation (NYSE:NOK) (BIT:NOK1V) (HEL:NOK1V) will be fine and Microsoft Corporation (NASDAQ:MSFT) may have bought a lemon. Time will tell.

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