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Technology Stocks : Smartphones: Symbian, Microsoft, RIM, Apple, and Others
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From: sylvester806/21/2012 1:24:59 PM
1 Recommendation   of 1647
 
Let's Be Honset, Microsoft (MSFT) Just Doesn't Care About Nokia (NOK) Anymore
8:02 am ET 06/21/2012 - Street Insider
Things for Nokia Corporation (NYSE: NOK) can go from bad to worse in a heartbeat.

After announcing its umpteenth restructuring just last week, recent moves from partner Microsoft (Nasdaq: MSFT) could suggests it values the relationship at maybe 3 on a scale of 1-10.

First, Microsoft announced its tablet 'Surface' on June 17 and then it said there will be no upgrade path to Windows Phone 8 from mobile devices already in the market place. Instead they will get a version 7.8 without the many of new features.

Analysts at Goldman Sachs said these announcements have negative implications forNokia.

"Given MSFT are making its own tablet, we wonder what would prevent MSFT from producing a smartphone as well, which may raise questions surrounding the relationship with its OEM partners including NOK," the firm said. "We do not think this is a base case, but it may raise questions about the sustainability of the relationship with NOK."

In addition, the confirmation that Windows Phone 7 devices will not have an upgrade path to Windows Phone 8 suggests Nokia's current and future non-Win 8 phone launches is likely to be less compelling to consumers.

Goldman maintained their Neutral rating on Nokia.
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