SI
SI
discoversearch

We've detected that you're using an ad content blocking browser plug-in or feature. Ads provide a critical source of revenue to the continued operation of Silicon Investor.  We ask that you disable ad blocking while on Silicon Investor in the best interests of our community.  If you are not using an ad blocker but are still receiving this message, make sure your browser's tracking protection is set to the 'standard' level.
Technology Stocks : Nokia (NOK)
NOK 6.585+0.8%Dec 24 12:59 PM EST

 Public ReplyPrvt ReplyMark as Last ReadFilePrevious 10Next 10PreviousNext  
To: sylvester80 who wrote (34271)8/22/2013 2:35:56 PM
From: E_K_S  Read Replies (1) of 34857
 
Maybe not as long as they continue to support the Windows OS platform (which they should IMO).



Nokia Microsoft Windows Phone contract is for 5 years, in force until 2016. But is it WP exclusive?

It is obvious that there should be some penalties there, if Nokia decides to abandon Windows Phone and switch to another smartphone OS. And we already know that Nokia has made some firm commitments on the amount of Windows Phone licenses it must buy from Microsoft each year, no matter what.But is there some exclusivity clause there, that would prevent Nokia to adopt some other, third party smartphone OS, if it continues to promote Windows Phone too, and meets its minimum royalty requirements? It is possible, but I really doubt that such clause exists.The decision to go Windows Phone exclusive was purely Nokia’s, and was based on high hopes for Microsoft OS, way too inflated confidence in its own sales force, and belief in ability to “flip a switch” and cram almost anything down consumer throats. After all, back then, even disastrous phones like Nokia N97 sold in millions. And, in late 2010, they managed to ship 5 million smartphones running the flawed Symbian^3 OS, within 3 months after its launch. Why not repeat the feat with Windows Phone next year?But adding the clause that forbids Nokia to even try some other, third party OS? That would be going too far, and may have some serious issues with European competition/anti-trust authorities.
So even if Nokia Microsoft marriage contract is in force until 2016, as far as penalties for sleeping with other people go, from Nokia POV they are most likely limited to those minimum WP royalty commitments only. Most are/should be covered by current sales.

EKS
Report TOU ViolationShare This Post
 Public ReplyPrvt ReplyMark as Last ReadFilePrevious 10Next 10PreviousNext