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Technology Stocks : Nokia Corp. (NOK) -- Ignore unavailable to you. Want to Upgrade?

To: elmatador who wrote (3992)	6/30/2006 10:03:17 AM
From: JPFinland	Read Replies (1) \| Respond to of 9255

Question is: How those, out of the duopoly, will be paired? There is very little infrastructure to be build. New infra will still be build (e.g. GSM/EDGE BTS replacement opportunity during next 3 years alone is several millions of TRXs. Still a lot of 2nd gen BSS equipment out in the field even in WE) but definately more of the focus in the business will go to maintenance and services. This business will move to elevator business model where most of the margins are generated from maintenance. The problem is how to turn the whole business model i.e. 'genetic code' of these infra suppliers towards much more boring maintenance business mode when last 10 years have been all about rolling out equipment as fast as possible. Another challenge these companies are having is how to turn their very HW centric value capture model to more of SW business model... Remaining possibilities: NT pairing with the Chinese. MOT pairing with NT I view NT - Chinese not likely to happen. Chinese are de facto government owned more or less and I don't think this setup would be suitable for NT. The only remaining option is NT-MOT or NT with NSN, /// or Lucatel. Both MOT and NT have a big problem in their hands since this is more and more becoming an R&D investment capability game. I personally believe that one very strong driving factor for NokiaSiemens was pure R&D investment capability. /// R&D investment is way over 2 B€ per year whereas Nokia Networks was just barely over 1 B€ per year...