Seeking Alpha
  • pramath
    $NOK is the next Kodak. Why $AAPL, $MSFT, and Samsung might not want to buy it - http://bit.ly/TDvaLt
    1/5/13
    Reply (35)
    • zeeman1: there is no comp between Kodak and Nokia. Nokia was taken by surprise by apple which they are correcting with Lumia. cotd
      1/5/13
    • zeeman1: smartphones, asha, dumbphones, navteq, networking business, patent portfolia.. they are too diversified to fail unlike Kodak.
      1/5/13
    • OldWarrior: NOK has a "Big Brother" in MSFT as well, Something RIMM can only pray for. Kodak ignored new Technology where NOK is embracing it.
      1/5/13
    • OldWarrior: Kodak thought that Digital could never have the quality of Film (which is true) but Digital became "good enough" for the Masses.
      1/5/13
    • OldWarrior: MSFT may have thought of buying it at $2.00, but at $4 just uses it to market MSFT software. Why buy outside your Core?
      1/5/13
    • Seppo Sahrakorpi: @OW Regarding good enough, MP3/iPod is another example. CD is superior sound quality, but people are happy with MP3...
      1/5/13
    • Seppo Sahrakorpi: ...to a degree that nowadays one can use iPod/iPhone/L920 as a source for real audio equipment at home or in car. Convenient yes, but Hi-Fi
      1/5/13
    • Seppo Sahrakorpi: I meant "but not Hi-Fi"... Apple/Jobs saw the convenience 'good enough' combined with ease of use correctly.
      1/5/13
    • OldWarrior: Even CD is not as HQ as the first few plays of a vinyl record, but few have the ears to tell. Photo's are the same to the untrained eye.
      1/5/13
    • OldWarrior: I do a lot of Photo Repair, Had a 5200 DPI Slide scanner by 97 so I could blow up photos. 5200 is still good for most repair.
      1/5/13
    • pramath: Have to agree with @Seppo2, Good enough wins in convergence products in the mass market. On Microsoft being big brother, contd.
      1/6/13
    • pramath: Have to agree with @Seppo2, Good enough wins in convergence products in the mass market. On Microsoft being big brother, contd.
      1/6/13
    • pramath: Microsoft's strategy is more focused on Tablets, even marketing is with HTC. When was the last time you saw a Nokia Ad?
      1/6/13
    • pramath: Being diversified is a good strategy in investment, not in business! Nokia is losing almost 3 quarters of a billion every Quarter.
      1/6/13
    • zeeman1: @pramath. In tech you need to be diversified. Things have short shelf life. You can not have a long-term tech business with one product
      1/6/13
    • zeeman1: Only time will tell if NOK is Kodak or otherwise. No point debating it now.
      1/6/13
    • OldWarrior: That loss was pre-Lumia 920, Late January numbers should be somewhat different, but we can only speculate until actual numbers come out.
      1/6/13
    • pramath: @OldWarrior - I saw the Lumia 920 in a windows store. HTC is making lighter, sleeker, niftier phones. Wonder how L920 would help
      1/6/13
    • pramath: @Seppo2 - Agree with short shelf life concept. $NOK might be diversified but it is stale now. Diversification has to be on future growth
      1/6/13
    • pramath: @Zeeman1 - sorry last comment was for you. $NOK's product line is stale now
      1/6/13
    • OldWarrior: Have to agree that Diversification is the only way to survival. NOK has phones for many levels 620 to 920. plus NSN NAVTec etc.soon Tablet
      1/6/13
    • OldWarrior: But until I see some real numbers, not speculated #'s I won't add @over 3.8 TOPS
      1/6/13
    • DeepValueLover: If Nokia sells smartphones to just 1% of the world's population then the shares can reach $35 per share. $200 profit per phone * 75m people.
      1/7/13
    • Eld: NOK does not make $200 profit per phone sold.
      1/7/13
    • DeepValueLover: What is the profit per Lumia 820 phone (their biggest seller)?
      1/7/13
    • pramath: Economies of scale go away with diversification .. They don't make the OS. They are taking all the risk !
      1/7/13
    • OldWarrior: $241 on the 920 is the only number I have heard. http://bit.ly/VMZAIK
      1/7/13
    • pramath: This is only after subtracting component costs, what about marketing, R&D costs? .. The more you diversify the lower the margin
      1/8/13
    • DeepValueLover: Microsoft is paying for marketing and R&D costs.
      1/8/13
    • Eld: NOK pays EUR 450m every quarter in R&D+marketing
      1/8/13
    • DeepValueLover: NOK probably doesn't pay €1.8 billion per annum in R&D+marketing. That is more than Nokia's reported Cash from Investing!!
      1/8/13
    • Eld: @DVL: marketing and R&D are operating activities, not investing ones.
      1/8/13
    • Colaolli: @pramath since when has lightness become the only major characteristic in smartphones?
      1/8/13
    • DeepValueLover: I know. The item is from the cash flow statement.
      1/8/13
    • pramath: @Colaolli - Since the day consumers decided to buy sleek and well designed phones
      1/9/13