The Final Showdown: Microsoft-Nokia Vs Apple
Abir is a member of The Motley Fool Blog Network -- entries represent the personal opinion of the blogger and are not formally edited.
The consumer electronics space is a highly competitive as well as a dynamic space where the only things constant are change and innovation. There has been a lot of talks related to which player will finally have the last say when it comes to dominating the smartphones and the tablet space. Some say Apple (NASDAQ: AAPL) will continue to be the tablet King and also regain the top position in the smartphones space thanks to the iPhone 5, the most hyped and anticipated iPhone in Apple’s history. While a few others say Samsung will gain prominence with its Galaxy Note 10.1 offering, backed by Google’s (NASDAQ: GOOG) Android OS.
Again, many others say Microsoft (NASDAQ: MSFT) will rise to the occasion and take over the segments like a storm. The Windows maker is trying to create an eco-system driven by the philosophy of converged devices. The devices – be it a smartphone or a tablet or an ultrabook – all will be in harmony with each other, made possible by the Windows 8 and its sibling Windows Phone 8 platforms.
Though Microsoft started its research on Windows 8 before the release of its predecessor in 2009, its existence was first announced in January 2011 at the Consumer Electronic Show. The company is all set to roll out the latest platform on October 26th. Now the question is, in this competitive world who will be the first to integrate the Windows 8 in tablets and smartphones and which company will be the first to launch their latest? The users have been eagerly waiting to get their hands on the Windows 8 devices as well as the iPhone 5 and many are going to grab the first good company that launches them.
Nokia’s (NYSE: NOK) Chief Executive Stephen Elop assured the people that the Finnish phone maker is going to introduce a new smartphone using the Windows maker’s latest Windows 8 software soon by ditching its home-grown Symbian software. Elop also added that in today's war ... (between) Android, Apple and Windows, Nokia is fighting that with the Windows phone. But Nokia and Apple are not the only ones who are launching new smartphones in the late summer-early fall period. Samsung is predicted to release the Galaxy Note 2 smartphone sometime soon. The Lumia maker is in expectation to launch the very new smartphone ahead of rival Apple’s iPhone 5 launch. As an instant reaction to this announcement, Nokia shares, which have been trading near all-time lows, traded up 7.5%.
Apple, the perfectionist, is planning to introduce the latest software platform in their new iPhone 5 and is already in top of the queue after releasing new iPhones with different thoughts to the people within a very short period. The iPhone maker is already in the heart of the gadget lovers. The company is likely to sell 6 million to 10 million devices in the last 10 days of the September which will account for roughly 22 million to 23 million units in the quarter as per estimation. The new iPhone 5 will be "the largest consumer electronics product upgrade in history."
So, right now Nokia is in great pressure regarding its smartphone. To loosen up the pressure and keeping in mind the past experience related to launch, the cellphone maker wants to launch their product before Apple does. Ever since Apple launched their first iPhone, Nokia lost about ninety percent of their market share. Their last big smartphone, the Nokia Lumia 900 failed to make the sales that they hoped. Just last month, they cut the price of their phone to $50, which is about half of what it was originally worth. That’s the main reason the once-thriving mobile company decided to team up with Microsoft, in hopes to rebrand their image, but unfortunately, it has yet to prove beneficial for either company.
At present Samsung is ruling the smartphone market, closely followed by the great iPhone maker. If Nokia wants to stay relevant in the ever-changing smartphone market, they have to give a thought and act fast but even then it still might be too late. Generally speaking, there is nothing wrong with Nokia’s line of Lumia phones. Although they certainly can’t be compared to the likes of the Samsung Galaxy S III or Apple iPhone, they certainly could hold their own if given the chance. Let’s see what Nokia can give to the people after so much R&D and planning.
abirk has no positions in the stocks mentioned above. The Motley Fool owns shares of Apple, Google, and Microsoft. Motley Fool newsletter services recommend Apple, Google, and Nokia. Try any of our Foolish newsletter services free for 30 days. We Fools may not all hold the same opinions, but we all believe that considering a diverse range of insights makes us better investors. The Motley Fool has a disclosure policy.If you have questions about this post or the Fool’s blog network, click here for information.
