Microsoft Earnings Report Fiscal Q2 2011
- Thread starter RobertR1
- Start date
Silent_Buddha
Legend
Android isn't exactly free either. Well the stripped down base OS is. However, I've read that you have to pay for components and features to the point where it might still be cheaper than WP7, but it isn't all that far off for the phone makers.
And tablet is a whole different beast with a lot of still untapped demand for slate devices that are more than simple media consumption devices.
Regards,
SB
I'd be surprised if "payment" extended beyond MS's agreement to take over the (now superfluous) Ovi store which probably involved some compensation on top of MS taking over any obligations Nokia had in maintaining that service as well as MS services like Bing and AdCenter using Nokia's Ovi Maps. I can't see how a straight payout would be enough on its own for Nokia to decide to let the future of the company ride on a platform that they wouldn't otherwise have chosen.
In hindsight, it makes one wonder if the hiring of Nokia's current CEO (former head of MS's business unit) wasn't made with an eye towards facilitating just this outcome.
Color you surprised mrcorbo cause it
Looks like the billions payment is confirmed (though Im surprised they even mentioned it, I doubt we'll find the true figure, itll be spread out over years)
the thing is nokia had to do something different
they are the largest phone company, but for the past couple of years their importance has waned, if they kept ontrack in a year or so they wouldnt even be number 1.
they had 3 choices
1/ modus operandi // leads to a slow sinking ship
2/ choose android
3/ choose win7
all things being equal they would of choosen #2 but throw in a few billion $ from MS to choose #3 + it was enuf to persuade them.
Well find out in a year or so, if the money was worth it
Looks like the billions payment is confirmed (though Im surprised they even mentioned it, I doubt we'll find the true figure, itll be spread out over years)
the thing is nokia had to do something different
they are the largest phone company, but for the past couple of years their importance has waned, if they kept ontrack in a year or so they wouldnt even be number 1.
they had 3 choices
1/ modus operandi // leads to a slow sinking ship
2/ choose android
3/ choose win7
all things being equal they would of choosen #2 but throw in a few billion $ from MS to choose #3 + it was enuf to persuade them.
Well find out in a year or so, if the money was worth it
http://www.reuters.com/article/2011/02/17/intel-idUSLDE71G1CB20110217
Like I say we'll prolly not find the extremely commercially sensitive amount out, but Ild say it would be at least $5billion
heads up, prolly a good time to sell your MS shares. whilst its unlikely that MS will be paying hardware companies cash to have windows on their PCs any time soon, this does set a very dangerous precedence
Otellini comes off like a jilted lover in that quote and you take it at face value? Don't you think he might have some kind of motivation to characterize this deal as being purely driven by financial considerations? You have to consider the source here.
You're absolutely right that that if it was simply MS paying Nokia to use WP7 it would set a dangerous precedent, not to mention it would completely alienate all of their other hardware partners.
Now if you want to argue that MS's willingness to pay Nokia for the use of NavTeq and other services and provide compensation for other value that Nokia is going to bring to the platform was the deal-maker/breaker that's a different story. But, again, a straight payout doesn't seem likely based on both a big-picture assessment and the wording Elop has used when describing the financial impact of the deal (what little has has been willing to say anyway). In this interview he provides a broad outline of the way that the money is planned to flow (beginning around the 5:35 mark). Here he specifically mentions that Nokia will be paying royalties to MS for the use of WP7.
I don't even understand how 5B would work. Seriously how would MS make back that money even in the next decade , they would have to sell more phones than both google and apple and move millions of paid apps to make any money.
At least with the xbox MS would have had live subscriptions and game royalitys to make moeny back on.
At least with the xbox MS would have had live subscriptions and game royalitys to make moeny back on.
Are you saying he lied?
How much did MS offer to but yahoo? 30billion or something, now *that* was insane. 5billion is not even close to that madness + MS desperately needs WP7 to work.
phones/tablets are becoming more like PCs every year
I dont know how many ppl saw this
http://www.displaysearch.com/cps/rd...l_apple_past_hp_to_top_mobile_pc_position.asp
apple had the largest mobile PC shipments for the first time in history!
most/all without windows installed, pretty soon android will join this market (if it hasnt already),
this year theres expected to be more mobile PCs than desktops shipped.
Now you cant tell me this is not a very worrying trend for MS
I can see the yahoo deal it would have grealty increased their search revenunes and bring in alot of talent for other areas.
I don't see how the 5b tag will make the mmoney with nokia and it makes even less sense that nokia would continue to pay them for each os copy they use.
As for the mobile divison who really cares , windows 7 is entering the tablet market pretty hardcore later this year and next year is the arm verison of win 8 and the like . I doubt ms cares about one year of sales .
I don't see how the 5b tag will make the mmoney with nokia and it makes even less sense that nokia would continue to pay them for each os copy they use.
As for the mobile divison who really cares , windows 7 is entering the tablet market pretty hardcore later this year and next year is the arm verison of win 8 and the like . I doubt ms cares about one year of sales .
It was quite likely that they were involved in the discussions too as they too were a stakeholder in what Nokia did.
um whoever wrote that is an idiot.
Using one month of data to try an justify a marketing expense?
Condemning that product based on a 15% increase in one of the weakest months of the year when the entire industry was down 10%, and yet MS was up?
Condemning kinect based on 500m in marketing when after 3 months of release its probably responsible for nearly $2 billion in sales?
So I'd like to reiterate how stupid this guy is.
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