Not easy to fight Apple Google RIM and Samsung

Nokia has the baraka. Since the beginning of the year, the action of the first manufacturer in the world of mobile phones has lost 22 at the Helsinki Stock Exchange. With a market capitalization of EUR 32 billion, the group is about to be CAP to the post by Research In Motion (RIM). Listed on the Nasdaq, the manufacturer of the BlackBerry is now 42.6 billion, i.e. EUR 29.7 billion. Recent stock-market performance speak for themselves. Since the beginning of the year, the action of the Canadian group jumped 80. Nokia, which was worth more than EUR 100 billion in early 2007, but sold 103 million phones in the second quarter against less than 8 million for RIM. But the turnover of the Finnish giant falling while that of its competitor is booming. On average, Nokia sells its phones 88 $ 360 dollars for a BlackBerry. In short, investors are doubtful about the prospects of Nokia. The number one global mobile will to keep pace in the segment of the most expensive phones, such as the iPhone and the BlackBerry

A market upset

The problem of the Finnish is that the mobile market was disrupted by the success of the iPhone and, more generally, that of "smartphones", these phones to do which make fury. All manufacturers have copied the Apple mobile, less well and less expensive. Result, mid-tier phones went from the classic mobile with camera and MP3 player in the multimedia device touch screen like the iPhone or with a keyboard qwerty as the BlackBerry. Nokia, historically very strong in classic mid range phones, ended with a portfolio of products which is no longer in line with the request of consumers. However operators tend to focus subsidies on the models that work.

In nine months, LG has sold 5 million copies of his Cookie, this phone touch screen. Samsung has not remained idle and released, also models "connected". Nokia is therefore attacked on all sides, with the top of range more invested by Apple and RIM and mid-tier by others. "The only solution in the short term for Nokia was to lower its prices to defend its market share," explained analysts of Royal Bank of Scotland. By as much as the evolution of exchange rates (the euro has appreciated against the dollar) plays in his disfavor.

Of course, Nokia will have to rejuvenate its portfolio to not to only phones at low cost. But it will have to adapt to a new deal: the value of mobile phones is perhaps towards services, applications and content. In the first half, Apple has won more money with his single iPhone than Nokia with its range of phones. In the second quarter, the operating margin of RIM has exceeded 20 against 7.8 for the Terminal division of Finnish. "Nokia has invested heavily to catch up with Apple and recently launched Ovi, but this service meets only a modest success for the moment," noted analysts of Royal Bank of Scotland.

Not easy to fight Apple, Google, RIM and Samsung. But in 2004, when Nokia had missed the turn of the phones clamshell, investors had already "buried" the Finns. However he had managed to bounce back very quickly. Nothing says that the most important high-tech company in Europe is more capable today.