Nokia: Ready For A Quick Exit?
Nokia Corporation (NOK) appears to fall deeper into trouble each day, and I do not think it can handle any more negative press. It may struggle to survive with or without any additional setbacks. I do not believe Nokia has a bright future, and I do not recommend investing in it, even though it is taking certain measures to let its business thrive.
In a struggling economy, Nokia has struggled to execute its profitable business strategies. One potentially profitable deal, however, is its partnership with Zynga (ZNGA). This partnership will bring Zynga’s popular games to the Nokia Lumia smartphone and Windows smartphones. Zynga’s games are most commonly played on Facebook‘s (FB) social networking site at the moment. While this partnership has some potential to be profitable for Nokia, it will most likely benefit Microsoft Corporation (MSFT) much more.
Microsoft is making a huge push in the smartphones market, which will allow this Zynga partnership to be even more profitable. A recent International Data Corporation study found that Microsoft’s Windows Phone will eventually catch up with Apple Inc.‘s (AAPL) iPhone. The Windows phone is a joint project that uses Microsoft’s software operating system and Nokia’s physical handsets, and it currently has only 5% of the market. This may be changing over time, however, as both the iPhone and Windows phones are expected to have 19% of the global smartphones market by 2016.
While that sounds great for Nokia, all may not be as it appears.To continue reading, click here.