In a bid to recapture the lost smartphone market share, Nokia Corp. has decided to change chief executive officer of the company. Starting from September 21, 2010, Stephen Elop, who presently heads Microsoft Corp.'s business division, will become chief executive officer and president of Nokia. Given the background of Nokia, Microsoft and Intel triangle, it looks like Nokia is gearing up to fight both Apple and Google.
"The time is right to accelerate the company's renewal; to bring in new executive leadership with different skills and strengths in order to drive company success. The Nokia board of directors believes that Stephen has the right industry experience and leadership skills to realize the full potential of Nokia. His strong software background and proven record in change management will be valuable assets as we press harder to complete the transformation of the company," said Jorma Ollila, chairman of the Nokia board of directors.
The appointment of an executive from Microsoft shows several things:
- Nokia wants to focus on advanced software and feature-set of its future smartphones. Given the fact that Nokia and Microsoft already have a pact under which the latter would develop mobile Office applications for the former, it is very likely that the collaboration will only get more solid.
- Nokia solidifies its relations with Microsoft and while it is not clear whether deep inside Nokia there are plans to actually use Microsoft Windows Phone, it is certain that Microsoft will develop business software for Symbian and eventually MeeGo.
- Nokia collaborates with Intel Corp. on microprocessors for mobile devices and on the MeeGo operating system. Further collaboration with Microsoft essentially completes the Intel-Nokia-Microsoft triangle, which will compete against Apple and Google on several fronts. In the end, both Apple and Google will be forced to fight on different fronts and against the Triangle.
"Nokia has a unique global position as well as a great brand upon which we can build. The company has deeply talented and dedicated people, and I am confident that together we can continue to deliver innovative products that meet the needs of consumers. The Nokia slogan clearly states our key mission: Connecting People, which will acquire new dimensions as we build our portfolio of products, solutions and services," said Stephen Elop.
Olli-Pekka Kallasvuo will leave his current position as president and CEO of Nokia on September 20, 2010 and his position on the Nokia board of directors with immediate effect. He will continue to chair the Board of Nokia Siemens Networks in a non-executive capacity.