As suggested by Press Release:
- Increased focus on digital health and brand and technology licensing balanced with optimized investment in virtual reality.
- Planned changes expected to impact Nokia Technologies employees mainly in Finland, the US and the UK.
- Nokia successful patent licensing business is not in the scope of planned changes.
Today Nokia announced its plan to sharpen the focus of Nokia Technologies on digital health, and accelerate growth in that market while optimizing investments in virtual reality. Nokia Technologies will also focus on growing brand and technology licensing while leaving its successful patent licensing business untouched. The shifts deepen Nokia’s commitment to fully leverage its digital health portfolio acquired through the purchase of Withings in 2016. Through more focused, agiler digital health business, Nokia aims to have the larger impact on the customer and the medical community.
In digital media, the slower than expected development of the VR market means that Nokia Technologies plans to reduce investment and focus more on technology licensing opportunities. The unit aims to stop the development further version OZO VR camera and hardware while maintaining a commitment to exists customer. The potential reduction is expected to affect up to 310 of the roughly 1090 employees in Nokia Technologies mainly Finland, US, UK. To start the process, Nokia today has invited employees representative of Nokia Technologies in Finland to cooperation negotiation. Nokia Technologies is at a point where, with the right focus and investments we can meaningfully grow our footprint in the digital market and we must seize, that opportunity was told by Lee, president of Nokia Technologies.
About Nokia Technologies
We create the technology to connect the world. Powered by the research and innovation of Nokia Bells Labs, we serve communication service provider, government, large enterprise, and consumers, with the industry’s most complete, an end to end portfolio of products, services, and licensing. From the enabling infrastructure for 5G and the Internet of Things to emerging applications in digital health, we are shaping the future of technology to transform the human experience.
It should be noted that Nokia and its businesses are exposed to various risks and uncertainties and certain statements herein that are not historical facts are forward-looking statements, including without any limitation those regarding;
a. our ability to integrate Alcatel-Lucent into our operations and achieve targeted business plans and benefits including targeted synergies in relation to the acquisition of Alcatel-Lucent.
b. expectations, plans or benefits related to our strategies and growth management
c) expectations, plans or benefits related to future performance of our businesses
d) expectations, plans or benefits related to changes in the organizational and operational structure
e) expectations regarding market developments, general economic conditions, and structural changes
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g) expectations, plans or benefits related to any future collaboration or to business collaboration agreements or patent license agreements or arbitration awards, including income to be received under any collaboration or partnership, agreement or award
h) the timing of the deliveries of our products and services
i) expectations and targets regarding collaboration and partnering arrangements, joint ventures or the creation of joint ventures, and the related administrative, legal, regulatory and other conditions, as well as our expected customer reach
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Factors including risk and uncertainties that could cause these differences include, but are not limited to;
- our ability to execute our strategy, sustain or improve the operational and financial performance of our business and correctly identify and successfully pursue business growth or opportunities.
- Our ability to achieve the anticipated benefits, synergies, cost saving and efficiencies of acquisition of Alcatel-Lucent, and our ability to implement our organizational and operational efficiency.
- general economic and market condition and other developments in the economies where we operate
- competition and our ability to effectively and profitably compete and invest in new competitive high-quality products, services, upgrades and technologies and bring them to market in a timely manner
- Our dependence on the development of the industries in which we operate including the cyclicality and variability of informational technology and telecommunication industries
- Our global business and exposure to regulatory,political, or other development in various countries, or regions.
- Our ability to manage and improve our financial operating performance,cost saving, competitiveness.
- our dependence on limited number of customers and large multi year agreement
- exchange rate fluctuation as well as hedging activities
- Nokia Technologies’ ability to protect its IPR and to maintain and establish new sources of patent licensing income and IPR-related revenues, particularly in the smartphone market.