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

To: engineer who wrote (28748)	6/30/2011 1:20:07 PM
From: E_K_S	Read Replies (3) \| Respond to of 34857

Hi Engineer - At least NSN has some presence in China with several partnership contracts w/ regional carriers. The company did buy the wireless-network division from MOT in 2010 at a bargain price and in 2008 acquired Apertio (at a cost of $205M), a maker of databases that helps mobile operators consolidate subscriber information. Both these acquisitions should help NSN maintain their foothold in China especially with the legacy carriers there. China is a huge potential market and NSN can provide many of the pieces for their networks (Both hardware & software). If they also push inexpensive NOK phones through the local carrier, it should help them build out the subscriber base. This model seems to be the way China plans to build out their service area (ie service subscriptions w/ subsidized phones). With the next generation of smart phones tied into these networks, NSN & the local Carrier should provide the end user a compelling offering. Many of these users will be first time "computer" owners via the NOK/Microsoft smart phone. The Apertio subscriber software component allows the local carrier to deliver multi media content similar to what cable companies provide now. This combined service package leapfrogs the equivalent offering in Europe or the US. I suspect that Smatphones & Tablets will be the primary communication & media devise used in China. I can not think of any other pure play in China that is not a Chinese company and sells at such a value price (NOK is near an all time low & the NSN partnership represent 10% of their revenues). It's been frustrating as a long time NOK investor but their China connection (through the NSN deal) seems like the best thing they have going for them now until the Win 7 mobile phones launch. I believe the current NOK price at $6.45/share probably reflects a NSN breakout price of $0.90/share - $1.10/share. I am not too sure if they spun out that partnership deal if they would get a better valuation. EKS

To: engineer who wrote (28748)	4/21/2012 12:03:34 PM
From: E_K_S	Respond to of 34857

Hi engineer - In June 2011, you responded to my note regarding NOK developing their cell phone market in China and your view was that the company (at least from your experience) was hard to deal with and slow to respond to change in technology. Many of your observations were right. We see the outcome of current management's operating philosophy with the stock hitting an all time low this past week. As a value investor, I am once again looking at a possible buy into NOK at current levels because of the "value" I see in one of their "under the radar" company owned assets; their design and cellular phone infrastructure division they own in partnership w/ Siemens. Last time I looked, it was worth around $2.25/share or about 60% of the current price of the stock. Do you have any opinions (being in the business) regarding the value of this business segment and if Siemens might be better off buying NOK's 50% interest in this partnership? Siemens has had good success working in China designing and building next generation Cell systems. My thought is that currently several of the pieces (ie sum of the parts) of NOK might be worth more if sold than the current market price is reflecting. The largest of those assets is their Cell Tower and Design Infrastructure business they operate w/ Siemens. I suppose the 2nd largest asset they own are their intellectual property patents that Microsoft might be interested in. What's your current view specifically regarding the development of next generation cell infrastructure (3G & 4G, WIMAX) and if you think the Siemens/NOK partnership has some relative value? EKS