Last Saturday, right after the news that a jury had determined that 25 Samsung cellphones and three tablet models infringed on Apple patents, a friend asked me if I thought Apple would further benefit from this verdict, or if Samsung would see this as a chance to become a real innovator. I told her my immediate thoughts were how much this outcome would benefit Nokia Corp. (NYSE: NOK) and Microsoft Corp. (Nasdaq: MSFT). I believe that thanks in part to this verdict, Nokia will return to its former self sooner rather than later. My friend was surprised.
At this point, it's no secret this verdict will definitely affect tablet and smartphone designs. We may finally see some real innovation from Samsung. We can also expect a dramatic change in the future of other mobile device manufacturers, and maybe a turn around -- I am thinking Nokia here -- as EBN editor in chief, Bolaji Ojo, suggested in Apple-Samsung: Can't We All Just Get Along?
Yes, we all wish that they all could get along, but Apple and Samsung keep on fighting in different corners of the world. Meanwhile, on the other side of the globe, Finland is beginning to see a new wave of hope for local hero Nokia, as the Finnish company showed a frenetic growth in the Helsinki Stock Exchange and a strong opening on Wall Street. Indeed, Monday was a day of good news.
In fact, Nordea Markets research analyst Sami Sarkamies had also said that the Finnish manufacturer and Microsoft could be the main beneficiaries from the Apple vs. Samsung outcome, so I'm more optimistic about Nokia's comeback. Then I read that earlier this week, after Samsung became considerably less valuable in the market, MoneyNews reported that shares in Nokia were 10.2 percent higher and Microsoft's European-listed shares were 1.6 percent higher.
All these reports support my initial thoughts. I strongly believe that the patent dispute between Apple and Samsung could boost Nokia and Microsoft's mobile device sales in unexpected ways. This decision comes right before Nokia World, September 5 through 6 in Helsinki, Finland, where Nokia is expected to announce its first tablet. This event -- this year is invitation-only -- has been timed to complement the Nokia and Microsoft press conference already scheduled for September 5, where the Windows Phone 8 is expected to be introduced as well as Nokia phones that will run the Microsoft smartphone platform. It's worth mentioning that Nokia World's date was changed from the initial September 25. This makes me think that the company wanted to make sure its newest devices were announced right before Apple's.
I am also pretty confident that the latest chain of events may translate into some Android users choosing to migrate to Nokia or Microsoft products in search of a more stable and reliable situation -- at least until Samsung's destiny becomes more clear. I have seen Nokia go up, down, and stay afloat, but never close to dying. If this is an opportunity, Nokia will take advantage of it.
There's a good chance that Nokia's stocks and sales may get an even more radical boost throughout the end of the year thanks to Apple's win against Samsung. There is always hope when there is still life, and Nokia may rise again.
"Do you think consumers who are aware of the patent disputes could be influenced by this at the time of purchasing their next mobile device?"
@Susan: I think to some degree their purchasing decision will be affected but not a great deal. For instance, some consumers may have a negative image of Samsung in their minds after it has been accused of patent violation, but there are still quite a lot of people who are not bothered about it and they still love Samsung.
it is obvious that Samsung is trying their best to copy and make their phones look like iPhone as much as possible
@t.alex, I am not sure if its obvious that Samsung is trying to copy the iPhone. Dispute is not about technology but about the some small graphics. I believe this practice by Apple will kill the competition in smartphone market.
Well I think Apple has to resort to any means when it is obvious that Samsung is trying their best to copy and make their phones look like iPhone as much as possible.
what about other manufacturers such as LG, RIM, Motorola, ZTE, etc. Will Nokia benefit only because it is associated to Microsoft or because of its hardware capability.
@Himanshugupta, I think Nokia provides one of the best hardward configurations. Nokia provides the camera and battery whose specs are one of the best in ithe industry. Thiswill definitely help Nokia to overcome competition from other manufacturers.
And there is no sign of violating any of Apple's patents.
@t.alex, I still can't accept the fact that round cornered icons can become Apple's patents. I feel Apple is feeling threatened by Samsung's growth and is trying to limit the growth by filing number of patent violation suit against it. Infact outside USA Apple has lost many patent lawsuit against Samsung latest being in Japan.
I believe that thanks in part to this verdict, Nokia will return to its former self sooner rather than later. My friend was surprised.
@Susan, thanks for the post. I am not sure if the news is as terrible as it is being projected for samsung. Fact is this ruling does not impact Samsung Smartphone and tablet sales in India and I am assuming in other emerging markets too. This will impact the sales of Samsung only in US which is predominantly Apple dominated market.
EBN Dialogue enables and encourages you to participate in live chats with notable leaders and luminaries. Not only editors and journalists, but the entire EBN community is able to comment and ask questions. Listed below are upcoming and archived chats.
Archived Dialogues
Thailand Stages a Comeback Join EBN contributor Jennifer Baljko on Thursday August 23, 2012, at 11:00 a.m. EST for a live chat on how electronic manufacturers in Thailand have shored up their supply chain to reduce the impact of future natural disasters.
Euro-Crisis: What It Means for High-Tech Firms Join EBN Editor in Chief Bolaji Ojo and Contributing Editor Jennifer Baljko on Thursday, July 12, at 10:00 a.m. EDT for a Live Chat on high-tech and Europe's economic difficulties.
Microsoft Surface: Potential Winners & Losers What are the implications for the electronics industry supply chain of Microsoft Corp.'s decision to launch its own tablet PC? Join industry veteran and EE Times' systems and OEM expert Rick Merritt on Tuesday, July 3, at 12:00 pm EDT for a Live Chat on this subject.
Join EBN contributor Jennifer Baljko on Thursday August 23, 2012, at 11:00 a.m. EST for a live chat on how electronic manufacturers in Thailand have shored up their supply chain to reduce the impact of future natural disasters.
Peter Drucker famously said "Trying to predict the future is like trying to drive down a country road at night with no lights while looking out the back window." Yet in the razor's-edge world of electronics—with a lean supply chain and just-in-time demands—the need to know the future is vital.
While no one really can accurately predict the future, we can take guidance from another Drucker saying which is the best way to predict the future is to create it.
You've heard the saying "the No. 1 supply chain risk is your people." That hasn't always been the case. But today's complex global supply chain requires a new type of multitalented employee. It's one who understands, finance, marketing, economics, is savvy with technology, graceful with relationships and can think analytically.
Where are these people? Are universities properly preparing the next generation supply chain professionals? How do train your existing workforce for these new, demanding positions?
Brian Fuller, editor-in-chief of EBN, will lead a 60-minute Avnet Velocity panel discussion that will ask and answer these and other questions swirling around today's supply-chain talent challenges.
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