Nokia + Microsoft?

Two turkeys do not make an Eagle”, tweeted Google VP of Engineering Vic Gundotra.

Gundotra may be referencing Nokia’s annual Capital Markets Day, tomorrow, in London. There, new CEO (and former Microsoft president) Stephen Elop is expected to announce an alliance with Microsoft. Gundotra’s tweet this morning made it very clear who Nokia is going with, says TechCrunch.

An internal memo from Elop to Nokia employees has sparked speculation that the mobile phone maker will largely abandon its own aging operating system, Symbian.

The first iPhone shipped in 2007, and we still don’t have a product that is close to their experience. Android came on the scene just over 2 years ago, and this week they took our leadership position in smartphone volumes. Unbelievable.

We have some brilliant sources of innovation inside Nokia, but we are not bringing it to market fast enough. We thought MeeGo would be a platform for winning high-end smartphones. However, at this rate, by the end of 2011, we might have only one MeeGo product in the market.

At the midrange, we have Symbian. It has proven to be non-competitive in leading markets like North America. As a result, if we continue like before, we will get further and further behind, while our competitors advance further and further ahead.


So it’s Microsoft for smartphones.

It seems like a bad move if you look at market share. Nokia has lost their top spot to Android and Android and Nvidia are becoming the new Wintel.

What does Microsoft bring to the party? Cars, games, ARM-based PCs and marketing. What the combination lacks is a tablet strategy, open architecture and market share.

It’s not about phones. Only Microsoft can put the guts of a tv into a remote control (with Tegra-3) – and port over PC apps and games. Cloud apps, too.

It could be good for consumers. Three strong smart phone operating systems are better than two (Apple and Google). Consumers will determine who has the best approach. A suitcase full of money makes little difference.

Posted by Sam Churchill on .

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