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Nokia (NOK +9.3%) soars after the chairman of Huawei's consumer business group says his company...

Nokia (NOK +9.3%) soars after the chairman of Huawei's consumer business group says his company would be open to buying Nokia in an off-hand remark. Any offer from Huawei would face intense EU scrutiny, given long-standing worries about the company's Chinese government/military ties. Is this a repeat of BlackBerry/Lenovo?
Comments (26)
  • LYogi
    , contributor
    Comments (2413) | Send Message
     
    I hope this news causes the NOK fanboys on this site to chill out a bit.

     

    you know who you are!
    18 Jun 2013, 01:19 PM Reply Like
  • Derek A. Barrett
    , contributor
    Comments (3534) | Send Message
     
    LYogi guilty as charged.

     

    This is a very strange development

     

    Maybe give me a chance to close my puts early and sell more ! lol

     

    Will be watching this, looks like some momo bros are in here now messing with the stock but let's see.
    18 Jun 2013, 01:25 PM Reply Like
  • HCube
    , contributor
    Comments (64) | Send Message
     
    Doesn't seem likely to me. I used the pop to sell out of my shares. Will probably get back in once it falls back down.
    18 Jun 2013, 01:30 PM Reply Like
  • Andreas Hopf
    , contributor
    Comments (10370) | Send Message
     
    Don't worry, it will. As always.

     

    But this Sun Tzu like strategy by Richard Yu is, of course, ridiculous. Nobody wants the Chinese military to have access to 19% of all essential 4G/LTE patents. Sun Tzu advises to weaken your enemy by flattering him, when not yet recovered. It is, in my view, just a shrewd stab at WP8 and bolstering the already inflated ego of Huawei's management, nothing more.
    18 Jun 2013, 03:05 PM Reply Like
  • richto
    , contributor
    Comments (222) | Send Message
     
    Nokia is worth a lot more than $4. It's priced to go bust atm.

     

    Also after this news it will be a brave short seller that doesnt close out, and there will likely be a squeeze...

     

    Dont forget once it goes above $5, pension funds, hedge funds, etc will also be able to pile in....
    18 Jun 2013, 03:44 PM Reply Like
  • Ruffdog
    , contributor
    Comments (1916) | Send Message
     
    A bidding war between Huawei and MSFT?
    18 Jun 2013, 01:49 PM Reply Like
  • Aasmul
    , contributor
    Comments (64) | Send Message
     
    I'm heavily long Nokia and pleased with the little pop, but this is simply ridicules. For one there is the difference in company culture, but most importantly how on earth would Huawei ever get the go ahead to do such a merger from the EU and US authorities?(like they aren't uncomfortable enough with Huawei in the first place). They would as a bare minimum have to divest Nokia's NS part to just have a slim chance of getting the permit and that's probably the one thing Huawei would be most interested in.
    18 Jun 2013, 02:01 PM Reply Like
  • richto
    , contributor
    Comments (222) | Send Message
     
    If they divested of NSN - which sells sensitive carrier equipment, I can't see any national security objections to selling Nokia to the Chinese...
    18 Jun 2013, 03:49 PM Reply Like
  • slcUTAH
    , contributor
    Comments (542) | Send Message
     
    These pops are cool if you're a short term investor or day trader but after the dust settles the share price could go below the price where the pop started. Anyways, for those that made quick money good for you!!!

     

    -Cheers!
    18 Jun 2013, 02:04 PM Reply Like
  • WhatdoIknow1
    , contributor
    Comments (661) | Send Message
     
    I'd like to hear a possible price from Huawei. Anything high enough to be speculated as reasonable would send the stock soaring. I could half my position. Make a nice profit and buy back in when the deal falls apart.
    There's only four possible outcomes.
    One, the deal goes through as tendered.
    Two, the deal gets blocked for whatever reason and never happens.
    Three, the interested party raises it's price to satisfy the protractors.
    Four Huawei and Microsoft start a bidding war. Wouldn't that be fun.

     

    A lot of winners could come out of something like this.

     

    Long Nokia
    18 Jun 2013, 02:09 PM Reply Like
  • WhatdoIknow1
    , contributor
    Comments (661) | Send Message
     
    I didn't even consider this aspect till now. What if Nokias recent success in China ( NSN contracts and vendor deals involving the Lumias ) are the result of Chinese royalty holding stock in Nokia.
    Huawei has been closely tied to the Chinese government. Didn't strike anyone as a little strange that NSN beat out the locals for the 4glte contracts. Hmmm

     

    Long Nokia
    18 Jun 2013, 02:18 PM Reply Like
  • MysteryGuest
    , contributor
    Comments (12) | Send Message
     
    WhatdoIknow1, the reason NSN wins LTE contracts ahead of Huawei is because they can now beat Huawei in price (and still make money). The reason they be ZTE is because ZTE makes some of the worst radios known to man - absolute crap.

     

    Trust Me,
    Mystery Guest
    18 Jun 2013, 04:28 PM Reply Like
  • WhatdoIknow1
    , contributor
    Comments (661) | Send Message
     
    I understand the superiority of NSN's products. Nokia doesn't just make great phones. But China is fiercely nationalistic and it is a truly rare event that sees a foreign company win any infrastructural project contract.

     

    Now what do we have but a not quiet top officer of Huawei letting something just, "slip". People at that level have martial control over their tongues. That slip was by design. The level of the slip was by design. It gives Huawei the ability to retract.

     

    Maybe they were just fishing for the markets perception of the price. Maybe they have something else in mind. I don't believe they will actually try and purchase nokia.

     

    This is just a crazy theory but what if Huawei was trying to beat the block that was recently placed on them by the US congress involving the contract for the defense departments 4glte network. It was the oppositions claim that Huawei was basically run by the Chinese military. If Huawei doesn't win that contract the speculation was high that Nokia would. Now Nokia has won the Chinese contract and their busy building a model for China to study complete with all the equipment necessary and now Huawei feigns interest at a time when both Nokia and Siemens are fishing for a possible out. Where would the US go if Huawei bought NSN? What if they just bought half of it? Siemens half. What doors might that open? They( the US ) might not have a choice but to let the "Chinese military" install the defense department 4glte network.
    It's just a theory. A stupid theory.

     

    Long Nokia
    18 Jun 2013, 10:42 PM Reply Like
  • wrscomncents
    , contributor
    Comments (672) | Send Message
     
    Huawei talks about android over wp8. No way Microsoft is going to lose Nokia and its Windows phone exposure.
    18 Jun 2013, 02:37 PM Reply Like
  • KIA Investment Research
    , contributor
    Comments (10673) | Send Message
     
    wrscomncents,

     

    I think Huawei talks down WP8 as a negotiation tactic; not that they actually believe it. I think they to see WP8 as just the hedge they need in the smartphone market, and Nokia's holding all the cards.
    18 Jun 2013, 10:56 PM Reply Like
  • wrscomncents
    , contributor
    Comments (672) | Send Message
     
    @Mr.

     

    Probably right. My only point was there is no way Microsoft would let Nokia go anywhere that might threaten their biggest wp8 market. It looks like this whole thing is going nowhere fast anyway.
    18 Jun 2013, 11:14 PM Reply Like
  • KIA Investment Research
    , contributor
    Comments (10673) | Send Message
     
    I think Microsoft would be happy if Huawei bought Nokia and grew the D&S - WP8 market. What wouldn't make them happy is having all those juicy patents go to Huawei .. .THAT would be a huge problem for Microsoft.
    18 Jun 2013, 11:17 PM Reply Like
  • SOAT
    , contributor
    Comments (27) | Send Message
     
    I know there are a lot of hurdles in the deal, but it would make perfect sense for Huawei to acquire Nokia. On top of the NSN business, Huawei could totally keep the lumia line to develop its WP products (makes MSFT happy as well). Huawei would then have two flagship lines, the Ascend on Android and Lumia on WP8. The Ascend P6 was just launched today and was elegantly designed. Huawei needs to get its brand name out there, and Nokia can help to do that.
    18 Jun 2013, 02:44 PM Reply Like
  • Andreas Hopf
    , contributor
    Comments (10370) | Send Message
     
    "Huawei needs to get its brand name out there, and Nokia can help to do that."

     

    Not so easy. Remember what happened to Haier's strategy from the mid 2000s.
    18 Jun 2013, 03:09 PM Reply Like
  • SOAT
    , contributor
    Comments (27) | Send Message
     
    well, all I remember is that Haier is ranked first in Euromonitor's Global Major Appliances Brand for consecutive years. It takes time for this kind of effort to pay off.
    18 Jun 2013, 03:42 PM Reply Like
  • Andreas Hopf
    , contributor
    Comments (10370) | Send Message
     
    No consumer likes to be seen with Haier in most European countries. Their products are shoddy but affordable. As such, they are suited for a certain income demographic (and the no income demographic living on welfare).
    18 Jun 2013, 04:14 PM Reply Like
  • djblackprince
    , contributor
    Comments (33) | Send Message
     
    Ballmer and co. will never let this happen. MSFT has too much invested and too much to lose to let Huawei try and scoop up Nokia like that. Plus I'm sure MSFT has first dibs on Nokia baked into their agreement.
    18 Jun 2013, 03:50 PM Reply Like
  • DWD Investing
    , contributor
    Comments (9736) | Send Message
     
    Huawei buy Nokia--LMAO. What a joke, but good bump.
    18 Jun 2013, 07:47 PM Reply Like
  • Bluismycat
    , contributor
    Comments (74) | Send Message
     
    Hmmm...Yeah...Not going to happen
    18 Jun 2013, 08:26 PM Reply Like
  • lancair
    , contributor
    Comments (8) | Send Message
     
    There is a lot of wishful thinking in the posts here, that this
    buy-out can't happen.
    I believe what Huawei wants, Huawei gets, specially
    when $$ is no object and the Chinese govnmnt backing.
    18 Jun 2013, 11:42 PM Reply Like
  • wrscomncents
    , contributor
    Comments (672) | Send Message
     
    @lancair

     

    I don't know if your right or wrong but I do like your photo.
    19 Jun 2013, 12:01 AM Reply Like
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