Where Nokia phones are manufactured for different markets. What is Nokia doing after the sale of the mobile division Nokia trademark

In the 2000s, Nokia produced the most popular phones in the world. But after the introduction of the iPhone and other smartphones with touch screens, the brand's share began to fall. By 2016, it had changed hands twice and was eventually taken over by the Finnish HMD Global. At the end of 2016, it announced the relaunch of the phone brand, and in May last year, the updated Nokia 3310 returned to Russia. Russia, and Nokia smartphones - to 7th place in March 2018.

– How did you decide to revive the Nokia brand? There are very different associations associated with it: there is both a story of rise and a story of fall at the beginning of this decade. What exactly gave you confidence that a revival is possible?

– Push-button phones are a big serious market with annual sales of about 500 million units. Our position in this segment has always been very strong - both in the past and now. HMD Global has restored the Nokia brand to its former leadership position in just one year, and our sales in this segment continue to grow. This is the first reason for our confidence.

The second reason is confidence in Nokia's strong DNA. When we started the business, we relied on the Nokia brand, which is very popular in many countries, including Russia. We have just started working in Russia, but Nokia is already in the top 3 in the feature phone segment, despite the lack of serious brand support over the past few years. When choosing a new phone, people look at Nokia as one of the options, and all we have to do is offer them what they want.

We focused on Nokia's three strengths - design, quality, reliability - and brought them to the Android platform. We promised consumers that Nokia smartphones will always run the latest version of the Android OS. This means that your smartphone not only does not get outdated over time, but also gets better, as Google constantly updates Android, adding new features to the operating system.

– You are not the only one using the Nokia brand. Is there any confusion? How many companies are currently producing phones under the Nokia brand?

– Nokia phones are now produced by only one company – HMD Global. And there is Nokia, which works only in the B2B segment, develops infrastructure for communication networks and, in particular, cooperates with operators. The license to produce phones under the Nokia brand is owned by HMD Global. But HMD Global is Nokia. HMD Global employees used to be employees of Nokia. It is we who own all the accumulated experience of working not only with phones, but also with partners. As a start-up, we respond quickly and flexibly to the demands of the market and partners. We have good connections with operators and retail chains, as they have known us for many years as Nokia employees. This is what helped us quickly bring Nokia phones to all retail outlets.

Nokia is HMD Global's first major partner. Our second main partner is Google. Together with Google, we are committed to ensuring that owners of Nokia smartphones have access to the latest version of Android. Our third important partner is the smartphone manufacturer FIH Mobile. This company strives for leadership in the production of phones, and we are a permanent reliable customer for it, ensuring stable capacity utilization. Finally, our equally valuable partners are distributors. They know that they can count on stable deliveries from our side and the cooperation will be long-term.

– You recently raised $100 million in funding. Who are your new investors and where will the proceeds go?

– Our new investors are three companies. The first is Alpha Ginko, which invests primarily in European companies. The second is Foxconn, which this time invested through its investment fund directly. Before that, we had partnerships with Foxconn, and now we have received direct investments. The third investor is an Asian investment fund. The investments received will be used to expand business in priority markets, including Russia, India and Indonesia.

– What does the HMD shareholder structure look like?

– You have been working in the phone market for more than a year. What are your sales - primarily in the smartphone segment?

– As we have already announced, in 2017 we sold 70 million devices, and most of the sales came from push-button phones. Nevertheless, we managed to enter the top 5 smartphone market in 15 countries around the world. According to IDC, in the first quarter of 2018, we further strengthened our position and became one of the market leaders in 21 countries around the world. We do not disclose smartphone sales. However, according to analysts, we can assume that in 2017 HMD Global sales amounted to 10 million smartphones and 60 million feature phones. At the same time, it is important to take into account that in 2017 we started selling smartphones only in June, that is, sales lasted only six months, and not the whole year.

– Can you name the revenue for the 1st quarter of 2018?

– We do not name these figures yet. In 2017, HMD Global's revenue reached $2.13 billion, and with the latest funding round, the company's value exceeded $1 billion.

– You recently introduced Nokia 2nd generation smartphones in Russia. How is it different from the 1st?

– The goal of our first product portfolio was to cover the maximum number of price segments, and we completed this part of the strategy with the announcement of new models at the Mobile World Congress this spring. At MWC Barcelona, we unveiled a broad lineup that includes both the Nokia 1, our most affordable phone, and the Nokia 8 Sirocco, our most expensive Nokia-branded smartphone. Our goal has been achieved - Nokia is now present in all price segments.

We have a special tool that allows you to collect reviews on purchased phones. Feedback on the first generation of our phones is just great.

Now we are starting the update - this time we are introducing smartphones with an 18:9 aspect ratio screen, smartphones with increased chipset performance, as well as other innovations.

If we talk about products individually, the new Nokia 5 focuses on a modern screen format and performance. We added solidity to the new Nokia 3 through the use of two-tone anodizing of the case: this made it possible to distinguish this smartphone from competitors in the democratic price segment. The new Nokia 2 still lasts two days on a single charge, but this year's model uses an improved screen.

How did HMD Global come up with the idea of releasing vintage Nokia 3310 and Nokia 8110 phones?

“When HMD Global announced its intention to revive the Nokia brand, we received a lot of inquiries from consumers wanting to get back to using their favorite Nokia button models. Such a phone allows, if desired, to disconnect from the outside world - social networks and mail - and communicate only with the closest ones. We decided to revive the most popular push-button model - Nokia 3310 - in a more attractive design - and we did not fail. The feature phone market is still huge and we don't want to miss it.

– Who buys Nokia phones?

– About 2/3 of Nokia phone buyers are people under 35 years old. We welcome customers of all ages, but our goal is to win the love of the younger generation.

Why are other relaunched brands not doing well, such as Motorola?

– When relaunching a brand, it is important to understand the requirements of the modern consumer. It is impossible to achieve success by focusing only on past achievements. We need to creatively rethink the strengths of the brand in the past and adapt them to the interests of today's consumers. In the past, Nokia's main focus has been on hardware. Now the user experience comes to the fore. For this reason, in particular, we use the pure Android OS as Google intended it.

– In the past, there were few places where people loved Nokia as much as in Russia. Does the Russian market have its own specifics?

– The main difference of the Russian market is the great demand for smartphones in the middle price segment. Therefore, we focused our sales on models from Nokia 2 to Nokia 6. Russian cellular retail is changing – operators are becoming more and more active. They know their subscribers well and see how large the proportion of users of push-button telephones is. It is easier for these users to migrate from older Nokia models to newer Nokia phones. This is beneficial for operators, since it allows increasing ARPU (average monthly subscriber bill - Vedomosti).

– How actively do you cooperate with mobile operators and their retailers? How warmly were you received after the restart?

Articles and Lifehacks

The Finnish company Nokia is one of the largest manufacturers of phones, whose products are produced in more than 130 countries around the world.

The company has several factories where Nokia phones are produced, located in Finland, Romania, Mexico, Hungary, America, Brazil, Korea, and India.

In China, there are two sites for the manufacture of mobile phones. Until 2008, there was also a plant in Germany, but it was closed, and production was eventually transferred to Romania.

Where are devices made for Europe?

As for European countries, mobile devices for them are supplied from factories:

Finland. Only new models are produced here, in about a year and a half, when the products are firmly established in European markets, their production is moved to Romania.
Hungary. Here, similarly to the Romanian site, the assembly of slightly outdated Nokia models flocks.
Great Britain. This is a luxury production, exclusively branded Vertu phones are produced here, as well as expensive devices of the N and E series.

Where are devices manufactured for other countries

The main assembly sites for mobile phones that are not supplied to European countries are located in Romania, Hungary and China. Here, the production of budget models and models of the middle price range is debugged and put on stream.

Many experienced users note a huge difference from where Nokia phones are manufactured: in Hungary or in China. The Chinese assembly is superior in quality to the Hungarian one: the parts are attached more neatly and securely.

Where will phones of this brand be produced in the future

At the moment, representatives of the Finnish company do not exclude the possibility that soon the factories located in European countries may close.

And in return, new sites for the manufacture of Nokia mobile phones will appear in India, China and Taiwan.

This will reduce production costs by 15-30 times, which is a very right decision in a situation of intense competition with Apple and Samsung products.

Nokia was one of the world's largest mobile phone manufacturers, serving customers in 130 countries. The main business of the company was the sale of wireless communication devices in the consumer and corporate markets, the sale of mobile gaming devices, home satellite systems and set-top boxes for cable television.

Origin. 19th century

In 1865, Nokia was a pulp and paper manufacturer in a small town of the same name in central Finland, using that country's vast forests. The industry is energy-intensive, so the company has even built its own power plants. For years, Nokia has remained a little-known company in a relatively forgotten corner of northern Europe.

Nokia shares first appeared on the Helsinki Stock Exchange in 1915.

In the early 1960s, the company merges with the Finnish cable factory Rubber Works, forms a corporation and begins its activities in the production of cables, electronics, tires and rubber shoes.

In 1967, Nokia created a special division for industrial automation and communication systems, focused on the development of information systems, including personal computers and mobile phones. Nokia is also gaining a strong foothold in Scandinavian automated banking systems.

Oil Crisis, Corporate Changes: 1970

Nokia continued to operate in a stable but not very profitable way in the 70s. This year has been the year of the oil crisis for many countries. Finland, during the years of political settlement with the Soviet Union, secured favorable trade agreements with the Union, which were based on the exchange of Finnish lumber and equipment for Soviet oil. But when world oil prices began to rise, the balanced trade began to break down and the purchasing power for Finnish companies began to fall, including for Nokia.

Although the consequences were not catastrophic, the oil crisis forced the corporation to rethink its dependence on Soviet trade (about 12 percent of sales) as well as its international growth strategies. The biggest change came after the company appointed a new CEO, Kari Kairamo, in 1975.

Kairamo pointed out the obvious: Nokia was too big for Finland. The company had to expand overseas. Gradually expanding their electronics business in Sweden, Norway and Denmark, the CEO and team gradually moved to the rest of Europe.

Meanwhile, Nokia's heavy industry looked increasingly burdensome. There were fears that in trying to become a leader in electronics, support from other industries would defocus the company. Kairamo considered selling off the company's weaker divisions, but decided to keep and modernize them.

He believed that while upgrading low-growth industries would be very expensive, it would ensure Nokia's stability in several markets, including paper, chemicals, machinery, and power generation.

Eventually, modernization led to developments in robotics and automation, the cable industry began to work on fiber optics, and the forestry industry was transformed into the production of high-quality fibers.

Rise of Electronics: 1980s

Nokia's most important focus was the development of the electronics sector. During the 1980s, the firm acquired nearly 20 companies, focusing on three segments of the electronics industry: consumer, workstations, and mobile communications. Electronics grew from 10 percent of annual sales to 60 percent of revenue from 1980 to 1988.

In 1981, Nokia gained 100% control of Mobira, the Finnish mobile phone company, which would later become a key move for Nokia's Mobile division.

Mobira's regional sales have been greatly improved, but Nokia has been focusing on mobile phone production overseas, namely Nokia and Tandy Corporation in the US, with a factory in Masan, South Korea. The phones were sold at Tandy Corporation's 6,000 Radio Shack stores throughout the United States.

In late 1984, Nokia acquired SALORA (the largest manufacturer of color TV sets in Scandinavia) and Luxor (the Swedish state-owned electronics and computer firm). Thanks to this, in 1987, Nokia strengthened its position in the television market and became the third largest manufacturer in Europe.

In early 1988, the company acquired the Data Systems division of the Swedish Ericsson Group, placing it at the forefront of the Scandinavian information technology business. Although the European market was held by Japanese and German companies.

In 1986, the management structure was reorganized to simplify reporting conditions and control by the central management was improved. The 11 divisions of the company were grouped into four industry segments: electronics; cables and equipment; paper industry, energy and chemicals; rubber and floor coverings. In addition, Nokia has won a concession from the Finnish government to allow for greater foreign participation in ownership. This significantly reduced dependence on the relatively expensive Finnish lending market.

In 1987, Nokia shares first appear on the London and New York stock exchanges.

Profitability crisis in the late 1980s and early 1990s

Jorma Ollila (Jorma Ollila)

In 1988, the company's profits fell under the pressure of fierce price competition in the consumer electronics markets. Chairman Kari Kairamo, subsequently stressed, committed suicide in December of that year. Simo S. Vuorileto took over the reins of the company and started the rationalization of operations. Vuorileto continued Kairamo's focus on high-tech divisions, moving away from paper, rubber and ventilation systems.

Despite all efforts, the company's profits continued to decline in 1989 and the early 90s. Observers blame the collapse of the Finnish banking system and the collapse of the Soviet Union. However, despite these challenges, Nokia remains committed to its high-tech focus.

In late 1991, the company reinforced this dedication by promoting Jorma Ollila to the president of Nokia-Mobira Inc (renamed Nokia Mobile Phones Ltd. the following year)

Growth. Mid 1990s

Forbes credited Jorma Ollila with the status of the company's savior, which transformed the corporation from an unprofitable sub-company into one of the most profitable telecommunications companies. Ollila focused on selling power supplies in 1994 and TV busbars and cables the following year.

The new leader has succeeded in the cell phone segment by quickly bringing innovative products to market. The phones were getting smaller and lighter each time, they were easy to use and uniquely Finnish in design. The first GSM phone in the world was released by Nokia in 1992.

Ollila's tenure brought Nokia success and with it worldwide recognition. The value of securities increased tenfold from 1991 to 1994.

In late 1995 and early 1996, the company suffered a temporary setback stemming from a shortage of chips for its digital cell phones. The company's production costs have risen and profits have fallen. However, as a result of the massive switch from analog to mobile phones, Nokia began to outperform its archrival Motorola, which was saddled with selling analog models. As a result, by the end of 1998, Nokia surpassed Motorola and established itself as number one in cell phones worldwide. The big leap was the release of the series model 6100 in November 1997. This series has proved extremely popular due to its small size, light weight and long battery life. The company sold nearly 41 million cell phones in 1998. Net sales increased more than 50 percent from the previous year, which stood at $15.69 billion. The company's shares soared more than 220 percent.

Nokia 6100 - sales leader in 1998.

But the company began to conquer the mobile market at the end of 1990. The Nokia 9000 Communicator was already on the market, which included telephone, database, Internet, e-mail and fax.

As well as the Nokia 8110 mobile phone with the ability to access the Internet, which is known to all from the film "The Matrix".

Nokia 8110
nicknamed "Matrixphone"

In addition, Nokia was the first company to introduce a mobile phone that can be connected to a laptop computer for data transfer over a mobile phone network.

To develop additional products, Nokia began acquiring Internet technology companies. December 1997 Acquisition of Ipsilon Networks Inc for $120 million, a Silicon Valley firm specializing in Internet routing. A year later, Nokia acquired Systems Corporation, a Canadian firm with a focus on Internet protocol telephony, for $85 million. The acquisitions continued in 1999 with seven more transactions completed, four of which were Internet related. Nokia's share of the global cell phone market increased from 22.5 percent in 1998 to 26.9 percent in 1999. The company sold 76,300,000 phones in 1999.

A two-pronged approach in the 21st century

At the end of 2000, the company released the Nokia 3310 phone. It became one of the most popular devices in the world.

In November 2014, half a year after the takeover of the mobile division by Microsoft, a tablet under the Nokia brand was introduced - Nokia N1. The tablet was created by the Foxconn factory.

2016: HMD Global and the first prerequisites for the return of smartphones under the Nokia brand

In May 2016, it became known that smartphone giant Foxconn was acquiring Microsoft's manufacturing facilities in Vietnam, which produced smartphones.

Stephen Elop at Microsoft's smartphone factory in Vietnam before being bought by Foxconn. Back then, Stephen still believed in the success of Windows Mobile.

Around the same time, Nokia announces a partner in the face of the company HMD Global, which buys all rights to the Nokia brand and patents that once belonged to the Finnish company. Many of the key people who have run Nokia will sit on the HMD board of directors and be responsible for design, quality control and smartphone innovation. These are people like:

Arto Nummela (Arto Nummela)- An individual who previously held management positions at Nokia and most recently was the head of Microsoft's mobile devices business for Greater Asia, the Middle East and Africa, and also led Microsoft's global smartphone business. He became the CEO of HMD Global.
Florian Seiche (Florian Seich), who was most recently Senior Vice President of Sales and Marketing at Microsoft Mobile Europe and previously held key roles at Nokia, HTC and other global brands. Florian becomes president of HMD.
Pekka Rantala (Pekka Rantala), the third Nokia veteran to join the HMD management team. Worked at Nokia for 17 years before becoming CEO of Rovio (Angry Birds). He will join HMD Global as a CMO and lead the company's marketing. He was senior vice president of global marketing for Nokia when he left the company.

The revival of the Nokia brand has begun. Smartphones will be produced by the Foxconn factory and HMD Global, which can be considered founded by people from the collapsed Nokia.

In October 2016, CEO of Nokia Rajeev Suri, at the Nikkei Global Management Forum in Tokyo, said that the company will soon hit the market with a bang. Prior to this, the company acquired a French company Withings, which deals with smart electronics in medicine. With this purchase, Nokia is going to enter not only the consumer market, but also the network business. Around the same period, Nokia acquires a telecommunications company Alcatel Lucent, which owns the Bell Laboratories Corporation, one of the largest communications research institutes in the world with a portfolio of over 29,000 patents. Nokia is actively involved in the development of data transmission in 5G networks.

Used Books:

Stephen Baker and Kerry Capel, "Race the Mobile Rule" business week, February 21, 2000, p. 58-60.
Mara D., "Nokia acquires Intellisynch" America's Intelligence Wire, November 17, 2005
Berkman, Barbara N., Sauna Brainstorming Electronic business, November 18, 1991, p. 71-74.
Tim Burt and Greg McIvor, "Land of Mobiles: Finland's toilet paper maker has become the world's largest mobile phone maker," Financial Times, October 30, 1998, p.18
Justin Fox, "Nokia, secret code," Fortune, May 1, 2000, p. 161-164+.
Mix, Fleming, "Beware of Motorola," Forbes September 12, 1994, p. 192-94.
"Nokia expands production in China," Digest News, December 1, 2005.
Elaine Williams, "100 year old Nokia is a fast growing pain" Electronic Business, June 26, 1989, p. 111-14.
Wikipedia
nokiapoweruser.com

Dynamics of revenue and profit

2020: Pekka Lundmark is the new CEO of Nokia

2019

Recruiting Hundreds of Experts to Accelerate 5G Product Development

Nokia hired about 350 engineers in 2019 to accelerate the development of technologies for fifth generation networks (). The Finnish company reported about it on October 30, 2019.

All new specialists who have joined Nokia work in Finland, namely in Oulu, as well as in Tampere and Espoo. 240 new employees began working in the division for the release of products for telecommunications networks. Many of the invited experts were engaged in the development of chips for 5G equipment, the company said.

Earlier in 2019, Nokia Telecommunications President Tommy Uitto told Helsingin Sanomat that the company is hiring new talent to develop 5G technologies. The company has been hiring faster since Uitto took over as head of the company's main division, succeeding Mark Ruan.

By ramping up recruiting, Nokia is looking to improve its financial position in light of the upcoming rollout of 5G networks. The company is actively developing relevant technologies, testing them with the largest operators and participants in the telecommunications market. By the end of October 2019, Nokia has signed 48 contracts for the supply of equipment for commercial 5G networks. 15 such networks have already been launched.

Nokia claims that the company is spending more money than its competitors on developing a 5G solution, and this investment has not yet paid off.

Retired military recruit

In mid-July 2019, Nokia's SAC Wireless launched training centers in the US as part of its retired military recruitment and training program. Read more.

Collaboration with Orange and SNCF to Explore 5G Opportunities for HD Video Upload

On April 30, 2019, it became known that the Orange company, in partnership with SNCF and Nokia, is exploring the possibility of using it to provide passengers with a high-speed HD video download service. Read more.

Opening of a network of cognitive collaboration centers

On February 18, 2019 it became known that Nokia announced a network of the centers of cognitive cooperation (Cognitive Collaboration Hubs). Designed for data scientists, these hubs will strengthen collaboration between Nokia, carriers and enterprises and create a single space for developing AI-enabled services. One such service, Driver Behavior Analytics, improves road safety by analyzing driver behavior and road conditions in real time. The open centers will offer users hosting on the Nokia AVA cognitive platform to speed time-to-market for carrier services and improve the return on investment for data analytics solutions.

The Cognitive Collaboration Centers were created taking into account the positive experience gained during the formation of the Collaboration Centers in the field of cloud solutions (Nokia Cloud Collaboration Hubs).

The centers will help operators to choose the right development strategies and solve important problems with the help of analytical functions and artificial intelligence technologies (Artificial Intelligence, ). Developers using the |agile methodology will build, test, and rapidly implement services together within weeks. Typical applications for these services include network operation, network performance enhancement, user experience enhancement, and data monetization. Another important area is networks. For February, 2019 Nokia cooperates with a number of the American operators in the field of use of machine learning for optimization of planning of networks of fifth generation. This approach, in particular, will help to correctly determine the location of base stations and the configuration of the Massive MIMO antenna technology.

In many countries, operators successfully use cognitive services created on the basis of these methods. For example, in Turkey, Nokia and Türk Telekom are testing machine learning and artificial intelligence technologies in latest generation mobile networks and fixed networks using the Nokia MIKA virtual assistant on the Nokia AVA cognitive platform.

Nokia also announced Driver Behavior Analytics, a service to improve road safety and passenger experience. This service analyzes data from conventional sensors in real time and generates useful information for government agencies, the automotive industry and commercial enterprises on this basis. This solution can transmit useful information about aggressive driving, bad road conditions and dangerous intersections to a smartphone with a proprietary application installed.

2018

Nokia and Ericsson lose to Huawei, despite the problems of the Chinese company

At the end of December, 2018 it became known that competitors of Huawei - Ericsson and Nokia - fail to take advantage of failures of the Chinese company for strengthening positions in the market and development of the advanced telecommunication equipment. More about it.

Creation of a single telecom division before the launch of 5G

The head of Nokia's largest structure - Mobile Networks (brings the vendor about 30% of revenue) - Marc Rouanne leaves the company. His duties will be handed over to Tommi Uitto, who is referred to at Nokia as a "radio technology expert".

Mark Ruan, who joined Nokia from Alcatel-Lucent in 2008, was responsible for the development and sales of 5G technologies at the Finnish company. Tommy Witto has led mobile network product sales since Alcatel-Lucent was sold to Nokia for €15.6 billion in 2016.

Mark Ruan became the second senior executive to leave Nokia in the fall of 2018. In October, the head of the patent business, Ilkka Rahnasto, left the company, Reuters reports.

The president of the new division of Access Networks will be chosen later. Structural changes at Nokia will come into effect on January 1, 2019.

The company says that the announced changes, including personnel, are aimed at ensuring that the organizational structure is in line with Nokia's strategy. The telecommunications equipment maker has strengthened its top management and strengthened its position ahead of the start of the 5G era as a result of the reorganization, Nokia noted.

Dismissal of "thousands" of employees for development of a 5G

Establishment of a joint venture with Rostelecom

On September 24, 2018 it became known of creation of joint ventures of the Rostelecom companies and Nokia - "RTK - Network Technologies". It will focus on the production of software and equipment for communication networks in the context of an import substitution policy. The development will be based on Nokia technologies and domestic solutions. Read more.

Europe gives Nokia a loan of 500 million euros for the development of 5G

2017

Patent agreement with Huawei

In all cases, the details of the contracts are not specified. It is only known that partners make regular payments in favor of Nokia, and the latter grants the right to use its patents, which, among other things, allow you to reduce the number of components in smartphones, extend the battery life of devices and improve signal reception. This business generates most of Nokia's profits, while over 90% of revenue is concentrated in sales of telecommunications equipment and software.

After the announcement of the deal with Huawei, Nokia shares rose 2.1%. From the beginning of 2017 to December 21, companies decreased by 14%.

Layoffs after acquisition of Alcatel-Lucent

The company cut 960 positions in Finland last year and said it plans to lay off another 1,400 employees in Germany.

In 2016, Nokia announced that it plans to cut thousands of jobs around the world as part of its $1.3 billion global cost-cutting plan following its acquisition of Alcatel-Lucent. The company can lay off up to 15 thousand people. of the total number of employees (including Alcatel-Lucent), which is about 101 thousand people, i.e. more than 14% of the total staff.

It is expected that the announced layoffs and reductions will take place in divisions where there is an overlap - in research and development, as well as in regional offices and sales departments.

Settlement of the conflict with Apple

In May 2017, Nokia and Apple settled a patent dispute that would result in the US company paying the Finnish company hundreds of millions of dollars in a multi-year licensing agreement.

In addition to settling claims, the agreement includes Nokia providing Apple with a range of network infrastructure products and services, and Apple continuing to sell Nokia fitness devices (manufactured by Withings, which Nokia bought in 2016) in its stores. In addition, the companies will collaborate on the creation of medical devices.

The financial component of the agreement was not disclosed, but it is known that we are talking about hundreds of millions of dollars that Nokia will receive in the form of an upfront payment and additional royalties during the term of the licensing agreement.

At the end of 2016, Nokia filed lawsuits against Apple in several courts, including German and American ones. A Finnish telecommunications equipment manufacturer claimed that Apple had infringed 32 patents related to various elements of mobile devices, including the display, user interface, video encoding and antenna.

Nokia's move came in response to Apple's antitrust lawsuit, in which the US corporation accused an opponent and several other companies of illegally transferring patents in order to extort excessive patent payments. In May 2017, all claims were withdrawn.

According to analysts interviewed by Reuters, the proceedings between Apple and Nokia could drag on, so they were surprised by the fairly quick resolution of the conflict.

2016

Lawsuits against Apple for infringement of 32 patents

On December 22, 2016, it became known about the new claims of Nokia in the field of patent law enforcement by Apple.

The press service of Nokia announced that Apple has infringed 32 patents owned by the Finnish company, including rights to display technologies, user interface, software, antennas, chips and video encoding.

Lawsuits filed in a number of district courts in Germany, in the District Court for the Eastern District of Texas,. The company announced its readiness to file lawsuits in the courts of other countries.

The history of the conflict between Nokia and Apple dates back to 2009, when a Finnish vendor accused an American competitor of infringing patents on technologies used in mobile communication devices.

Then Nokia demanded a royalty of 1-2% ($6-12) from each iPhone sold. In 2011, the parties entered into a licensing agreement, ending disputes over 46 Nokia patent complaints.

Return to the phone market

According to Planet Today, Nokia is in talks with the Finnish company Bittium to allocate production capacity for the brand to produce its devices in Finland.

If the deal goes through, Nokia will have to terminate the contract with Foxconn (Hon Hai Precision Industry) - it is busy producing the N1 tablet under the Finnish brand. In addition, the publication reported that if the partners come to an agreement, consumers will see the first copies of Nokia equipment before the end of 2016.

Mass layoffs

According to Bloomberg sources, Nokia did not really lay off people en masse in France, leaving about 4,200 jobs there, 2,500 of which are R&D specialists.

By the beginning of April 2016, the total number of Nokia employees is about 104 thousand employees. Finland, Germany and France employ 6850, 4800 and 4200 people respectively. The company did not specify the scope of the global personnel reorganization.

Bloomberg, citing people familiar with Nokia's plans, reports that the company wants to cut between 10,000 and 15,000 jobs around the world, that is, up to 14% of the state. This is being done in order to overcome problems associated with difficult market conditions and strong competition from Huawei, one of the sources told the publication.

Nokia CEO Rajeev Suri discussed the upcoming cuts with union representatives during a conference call on April 6, 2016, according to Bloomberg sources. The company's management intends to meet with workers in several countries in April-May.

2015

Nokia buys Alcatel-Lucent for 15.6 billion euros and creates Nokia Corporation

For the acquisition of Alcatel-Lucent, Nokia will pay €15.6 billion, or €4.12 per share, 8% less than its market value as of April 14, 2015. The announced deal boosted Nokia's stock by 2.8%, while Alcatel-Lucent fell 9%, although it jumped 16% ahead of the deal's announcement.

As a result of the merger of Nokia and Alcatel-Lucent, Nokia Corporation was created with a staff of more than 110,000 people. Nokia promises not to cut jobs beyond those planned by Alcatel-Lucent. Read more.

Return to the smartphone market

In a message published on the official website on July 13, 2015, Nokia announced the return of the brand to the smartphone market. True, the work of the Finnish company in the mobile industry will be carried out in a different format than before.

Nokia Technologies spokesman Robert Morlino, on behalf of the company, said that upon returning to the mobile phone market, Nokia will deal with the licensing of its trademark. That is, the European vendor intends to develop gadgets, share their technologies and sell the rights to sell their devices to another company. The latter will have to take over the development and sales of Nokia products, as well as deal with marketing and customer support. According to this scheme, Nokia, together with Foxconn (Hon Hai Precision Industry), distributes the Nokia N1 Android tablet.

Morlino said Nokia is looking for a "world-class partner" to help the company re-enter the smartphone market. The names of companies that could potentially provide assistance to the Finnish manufacturer are not specified.

A Nokia representative noted that the company will not be able to release smartphones until the fourth quarter of 2016. To do this before the specified deadline is prohibited by the agreement with Microsoft, signed in 2014 and regarding the sale of the telephone division of Nokia to the American software corporation.

By mid-2015, Microsoft had phased out using the Nokia brand on Lumia smartphones, but still offers regular phones under this brand.

“For 14 years, Nokia has been the world's largest mobile phone manufacturer and the company's brand has become a household name for quality, innovation and human connection. It continues to be widely recognized by millions of people around the world, delighting those who helped create the brand. Therefore, it is not surprising that the question constantly arises as to whether Nokia will return to the mobile device market. It is difficult to answer it,” said Robert Morlino, emphasizing that the return can only be carried out with the assistance of a partner.

2013

Sale of mobile business of Microsoft for $7.2 billion

Dynamics of Nokia's share in the market of cell phones and smartphones

The leaders in sales of mobile phones and smartphones from 1992 to 2018 are in the animation below.

Redemption of a share of Siemens in Nokia Siemens Networks

2012: Cuts

April 24, 2012 Ratings agency Fitch has downgraded Nokia's credit rating from BBB- to junk at BB+ with a negative outlook. Analysts assess the company's prospects in 2012-2013 unfavorably.

In June 2012, it became known that Nokia plans to cut 10,000 jobs around the world. Nokia's only factory in Finland will also be closed as part of the company's largest layoff in recent years. The total number of job cuts since 2010, when Stephen Elop became the head of the company, has reached 40,000.

2011

Partnership with Microsoft

In February, 2011 intention to leave Nokia in March, 2011 was announced by the head of division of Mobile Solutions Anssi Vanjoki (Anssi Vanjoki). In addition, a marketing director was appointed. They became Jerry DeVard (Jerri DeVard).

In the same month, Nokia announced a partnership with Microsoft to run Windows Phone on its smartphones. The share of this operating system in the IV quarter 2010 was reduced to 3%. However, for Microsoft, this alliance can be beneficial. Nokia shipped a total of 453 million mobile phones in 2010, a good base for Windows Mobile to spread.

It was announced that by the end of 2012 Nokia's business would change radically. To stem the decline in smartphone market share, the company is working with Microsoft to develop a new operating system.

The new strategy was introduced by Nokia CEO Stephen Elop. Shortly before this, Elop wrote to employees with a letter: “The first iPhone appeared in 2007, and we still have nothing comparable. Android has only been on the scene for two years - and has taken the lead from us. Incredible."

In the coming years, the market will be driven by smartphones - devices with operating systems where third-party applications can be downloaded, Elop is sure. According to IDC, the share of smartphones in phone shipments increased from 15.8% in the fourth quarter of 2009 to 25.1% in the same period of 2010. Nokia's problem is the lack of a global ecosystem like those created by Google and Apple, Elop is sure . He promises to build such an ecosystem with Microsoft, where he worked for several years. Microsoft's Windows Phone will become the main operating system for Nokia, and a new operating system will be created on its basis. Nokia's contribution will be hardware solutions, language support, and a mapping service. Microsoft will provide the Bing search engine, to which the adCenter online advertising system will be linked, and the Nokia app and mobile content store will be merged with the Microsoft Marketspace.

Nokia will pay royalties to Microsoft, but promises to make up for it by cutting its development budget, which now ($8.1 billion) is four times that of Apple. Elop also promises to cut staff.

Downsizing

In April, 2011 it became known that Nokia, by the end of 2012 plans to reduce 4 thousand employees in the branches worldwide. First of all, this will affect Denmark, Finland and.

In addition, according to an official statement, by the end of 2011, Nokia intends to outsource 3 thousand employees in the United Kingdom, Finland, China and India, transferring them to work in Accenture (Aksencher), where they will continue to deal with the Symbian operating system .

Accenture is an international consulting and outsourcing company, a longtime partner of Nokia (the parties have been cooperating since 1994). In October 2009, Accenture acquired Nokia's technical support group for carriers and manufacturers using Symbian-based smartphones.

Once Nokia employees move to Accenture, they will continue to develop software for Nokia on an outsourced model. Subsequently, when the company stops producing smartphones with Symbian, the partners promise to offer developers new promising positions.

With the help of the above measures, Nokia expects to reduce annual costs by 2013 by €1 billion compared to 2010, the company's press service explained. Nokia CEO Stephen Elop called the downsizing "a harsh reality," a forced measure that a vendor has to take in order not to sink completely.

This is the second major layoff announcement during Elop's tenure. The first (1800 people) was done in October 2010 almost immediately after the change of the head. At the end of 2010, Nokia employed approximately 132,000 people.

Employees who will be fired from the Finnish telecommunications concern Nokia within the next year may find jobs in new IT centers that are being intensively created now in the giant's homeland - in the Finnish region of Tampere-Pirkanmaa. Among the partners of local authorities in creating new jobs are companies such as Intel, Google, Palm, Skype, HP, and China Mobile. The most promising are Intel's plans to create a MeeGo center in Tampere for research and development of this MeeGo operating system.

The new center is located in the Center for Internet Excellence at the University of Oulu and is integrated with the Oulu Urban Living Labs technology park, which is a good environment for in-depth research and pilot projects, the official statement said.

The initial goal of the first joint R&D center between Intel and Nokia, which has a staff of about 24 scientists, will be to develop new types of interfaces for mobile devices, including 3D holograms of the interlocutor, previously seen in science fiction films. Some of the projects will affect the MeeGo platform, and their results will be available under open licenses.

2007: 68 thousand employees

As of the end of 2007, Nokia had 68,321 employees.

2006: Creation of joint venture of Nokia Networks and Siemens

In June 2006, it was announced that the Nokia Networks division would be merged with the corresponding telecommunications division of Siemens. The 50/50 joint venture between Nokia and Siemens will become a global leader with a strong presence in the most important and growing sectors of the fixed and mobile network technologies and services market.

2005: Olli-Pekka Kallasvuo is the head of the company

Although Nokia lost its corporate autonomy, its name soon became the common foundation for the three firms, and in the same years FRW began to use the name `Nokia` as its brand. However, soon the third of the companies, Finnish Cable Works (FCW), lured Nokia into a new sector for it - the construction of power plants.

In the 1920s and 30s, Nokia was already a leader in all areas of its activity. It was diversification that helped the company almost painlessly survive difficult economic times: when a sector of the economy was in decline, Nokia survived at the expense of enterprises in other industries.

1865: Paper mill opens

Nokia's history dates back to 1865. On May 12, 1865, the Finnish mining engineer Fredrik Idestam received permission to build a factory for the production of wood pulp near the Nokia River. This was the beginning of the future Nokia Corporation. It was during these years that the rapid growth of the industry occurred. Industrialization, the need for paper and cardboard for growing cities and offices grew every day. And now, on the site of the factory-mill, a pulp and paper mill has grown. Over time, the Nokia plant attracted a large number of workers, so that the city of the same name, Nokia, soon formed around it. The company grew from a national scale, Nokia paper began to be delivered first to

Today we will talk about the iconic transnational company Nokia. Nokia is one of the few companies that has changed direction more than once and, having huge ups and equally huge downs, continued its activities. Today the company is known to many thanks to the production of mobile phones, communicators, Nokia Here mapping service.

So, Nokia was founded in 1865 engineer Frederik Idestam and Leopold Mechelin in Finland.

Initially, the company was engaged in the production of wood pulp near the Nokia River. This time is known for rapid industrial growth, the need for cellulose products grew day by day. The company began to actively develop and attract more and more workforce. As a result, paper products were exported far beyond Finland: Russia, England, France.

And already in 1871 Nokia Corporation was founded. The company confidently conquered the markets of Denmark, Germany, Russia, England, Poland and France. The co-founder of the company Leopold Mechelin proposed expanding to include the production of electricity and cables, but this idea was not liked by its founder Idestam, who left the company in 1896. Mechelin managed to promote his idea to the shareholders, and by 1902, one of the activities of the company was the production of electricity. Also, by the middle of the 19th century, vulcanization technology was mastered, which made it possible to use rubber in various areas of life. In Finland, rubber was produced by the Finnish Rubber Works (FRW). When the management of this company decided to move production, they chose the land next to Nokia, because. could buy electricity from them at low prices.

The rapid development of industry meant the need for the production of cables for power transmission, telegraph and telephone networks. As a result Finnish Cable Works was founded in 1912.

In 1920, the Nokia Corporation, the Finnish Rubber Works and the Finnish Cable Works formed a coalition agreement to form the Nokia Group. It turned out that three different companies used the same name - Nokia. Such an “alliance” played into the hands of all three firms, because together they formed an almost closed chain of energy production and transmission (by the 1920s, Nokia was engaged in the production of power plants). It was this diversification that helped to overcome the difficult situation of the post-war crisis that roamed around the world.

The company is engaged in various production, creating at some time paper products, automobile and bicycle tires, shoes, various cables, televisions and other household appliances, personal computers, electric generators, robotics, capacitors, military communications and equipment (such as the Sanomalaite M / 90 cipher text communicator and gas mask M61 for the Finnish army), plastic, aluminum and chemicals.

In 1966, three enterprises began and in 1967 were finally formalized - Nokia, FRW and FRC. Oy Nokia Ab was an industrial, worked in four main areas: the timber industry, the production of rubber, cables and electronic equipment. The old lines, especially cables, continued to make Nokia profitable. Some Finnish observers believe that the control system was taken from a cable factory; and brought the rubber industry. And the electronics division helped revive Nokia's competitiveness in a new phase of the company's development.

Together with Salora, Nokia begins work on high-frequency broadcasting technologies. As a result, the ARP communication standard was isolated. In the mid-1970s, one of Nokia's first telecommunications products, the DX200 switch for automatic telephone exchanges, was released.

In 1984, after buying out part of the shares of the joint company Mobira, Nokia releases one of the first portable phones - Mobira Talkman. The device consisted of two parts: a transmitter and a speaking tube, and its weight was almost 5 kilograms.

And in 1987, thanks to technological progress, the company presents Nokia Cityman, a mobile phone with a single block of hardware hardware. By the way, the weight has dropped to 750 grams)))

In 1992, the company launched the world's first GSM phone - Nokia 1011.

In the same year, the famous Connecting People slogan was used for the first time.

At the moment, Nokia is the largest company in Finland by capitalization - 30 billion dollars. The company is the largest employer in Finland, with a total staff of about 100,000 people. Since September 2010, the post of CEO has been occupied by Stephen Elop, during which the transition of smartphones to Windows Phone and the further sale of the mobile division took place. And the market share of smartphones fell from 29% in 2010 to 3% in 2012. He also cut his staff by 20,000 people and received more than $25 million after the approval of the deal with Microsoft and later took a job in this company.

It is worth noting that the decline in popularity was outlined even before the arrival of Elop to the position of CEO.

It turns out that his actions only worsened the already poor state of the company, because. Samsung, LG and Apple began to enter the market.

As for the financial side, the company reported to the public for its own activities in the fourth quarter of last year and for 2013 as a whole. As expected, the numbers are quite depressing. Thus, the operating in the fourth quarter fell by 17% and amounted to €274 million, and revenue - by 21% (€3.476 billion). At the same time, it amounted to €12.709 million, which is also 17% lower than in 2012. As we remember, the mobile unit was sold and listed as "operations". It is reported that sales of Lumia for a three-month period decreased from 8.8 million units to 8.2 million, and in total since its inception (2011), Nokia has sold about 44 million Windows Phone devices (which is approximately as much as Apple sold in 2011). the same quarter or the sum of the Samsung Galaxy S4 since March 2013).

However, the other three “pillars” on which Nokia is based continue to make a profit. In particular, Nokia Solutions and Networks reports revenue of €3.105 billion (€2.592 billion in the third quarter) and operating income of €243 million (€166 million). Mapping service HERE generated 20% higher revenue for finances than in the third quarter, reaching €254 on an operating income of €18 million. As for Advanced Technologies (research division), it earned €310 million in a year, which is slightly lower than a year earlier , but Nokia managed to gain a strategic advantage by extending cooperation with Samsung regarding the use of "Finnish" patents, for which royalties began on January 1, 2014. Well, Nokia has drawn a line under its phone business. In a year, new financial results will tell how justified such a decision of the board will be, which caused a huge public outcry in Finland and beyond.

And in November 2014, the announcement of the Nokia N1 tablet took place. It is worth noting that the company has licensed the use of the brand to the Chinese company Foxconn. Those. from Nokia there is only a brand and proprietary Z Launcher, built on the Android 5 platform. The tablet turned out to be successful, of course, the design is rather suspiciously similar to the iPad Mini, but that's where all the similarities end. Tablet got a gorgeous 2048 × 1536 display, a 64-bit Intel Atom processor and a starting price tag of $ 250, which is the best price / quality ratio in this segment. The release of the Tablet is scheduled for 2015.

Nokia also conducts research in the study of graphene (an allotropic modification of carbon). The material itself is 300 times stronger than steel, it is almost transparent, has tensile strength and much more. Nokia has received $1.35 billion from the European Union (UE) to research and develop this ultra-strong material over the next ten years. And there are already results. The Nokia Battery 300 is a carbon battery that, in contact with water, generates protons and recharges itself. 30% humidity is enough to charge the battery.

We can also mention the progress in the development of flexible (rather than curved) displays, which use mechanical deformation for various kinds of functions. So far, these are raw prototypes, but there is no doubt that they will find their way into the near future.

In conclusion, I would like to say that given that Nokia has changed its focus every time, depending on the wishes of the market (and did it quite successfully), I would not be surprised at the company's success in the field of graphene and other mobile solutions.

Thank you for your attention))

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