A World of Hurt for Nokia, and Everyone Else
Bad news for the mobile phone market in 2008, 2009, and beyond
Ouch: Nokia reported Friday that fourth quarter industry mobile phone sales would be far lower than expected – 20 million phones lower, to be exact. The company also painted a pretty bleak picture for the future, thanks to a certain global recession.
Nokia didn’t give any hard numbers for 2009, other than to say that phone sales would be lower than 2008, as would be anything to do with the Nokia Siemens Networks joint venture (surprise!).
The only “good” news from the press release was market share: Nokia’s lion’s share of the pot would stay the same or be slightly higher in Q4 compared to the previous quarter.
“In addition to the measures recently announced at Nokia and Nokia Siemens Networks, Nokia is taking decisive action to significantly reduce its cost base:
- Nokia has already instituted various cost saving actions.
- Nokia will curtail use of external contractors, consultants and professional services.
- Nokia will further cut operating expenses in 2009 to respond appropriately to the market conditions.”
See the damage: Nokia Press Release
