I cannot say which one is better investment. Both have advantages and disadvantages.
NOK:
Advantages: huge patent pile, royalties pretty much from everyone (including Apple, RIM, etc.), Microsoft support including money payments, existing popular products with increasing sales (yes, I mean Lumia), still great brand name in most of the world, still competitive dumb phones, strong geolocation/mapping business unit, great camera innovations.
Neutral (may be adv/disadv): Nokia Siemens networks ownership.
Disadvantages: big company, so Lumia sales have to become really big to turn the company to profit and success, Win Phone only in smartphones, morale is not great: there are people who hate Microsoft/Win Phone and overall headcount cuts don't improve morale.
RIM:
Advantages: presumably best security that attracts corporate IT buyers, single leftover supplier of QWERTY phones (?), QNX for non-phone apps, was profitable for longer than NOK, smaller company, so needs less sales to turn around. (There's a guy on SI RIMM thread who thinks that RIMM/BB10/QNX is second coming of Christ. I don't think so).
Disadvantages: BB10 has not come out yet and products are unproven to be popular, weaker patent situation, weaker ecosystem if it will catch up at all. Morale is probably low too.
I think I prefer NOK, but I really have not done RIMM valuation lately and I don't know how strong their brand is and whether BB10 has a big chance. |
