Huawei: We Don't Have Any Plans to Buy Nokia
Nokia's shares enjoyed a nice bump following reports that Huawei was open to an acquisition.
Nokia has had a rough few years. Once the cell phone king, the company struggled to make an impact on the smartphone market prior to adopting Microsoft's Windows Phone operating system as its primary smartphone OS. Things aren't looking as grim as they once were, but is Nokia looking to sell itself?
A report from the Financial Times this morning cited head of consumer business at Huawei, Richard Yu, as saying the company was 'open minded' about a Nokia acquisition. Yu's comments were made in the context of Huawei becoming the leader of the smartphone market. Currently, it's number three behind Samsung and Apple. Yu said the company would consider acquiring other phone makers in order to be number one.
"We are considering these sorts of acquisitions; maybe the combination has some synergies but depends on the willingness of Nokia. We are open-minded."
Nokia's stock jumped at the news, rising more than 10 percent and eventually closing at $3.86, a 4.61 percent change compared to a smidgen over $3.70 on Monday. However, Huawei has since clarified that it doesn't have any plans to buy the Finnish mobile phone manufacturer. Huawei's vice president for external affairs, Bill Plummer, told Reuters it had no plans to buy Nokia but didn't elaborate on whether or not his company had considered it. Interestingly, Nokia refused to comment on the report when reached by Reuters. Could that mean the company is open to a sale?
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Jane McEntegart is a writer, editor, and marketing communications professional with 17 years of experience in the technology industry. She has written about a wide range of technology topics, including smartphones, tablets, and game consoles. Her articles have been published in Tom's Guide, Tom's Hardware, MobileSyrup, and Edge Up.
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hardcore_gamer Nokia should start making android phones also, if they want a bigger jump in their stock price.Reply -
vmem Reply10999595 said:Nokia should start making android phones also, if they want a bigger jump in their stock price.
you realize that the only reason they're financially afloat is probably due to some massive exclusive deal with Microsoft right? if they try to make an android phone and it doesn't work out, the company could easily go under -
nord_musician Reply10999770 said:10999595 said:Nokia should start making android phones also, if they want a bigger jump in their stock price.
you realize that the only reason they're financially afloat is probably due to some massive exclusive deal with Microsoft right? if they try to make an android phone and it doesn't work out, the company could easily go under
They should try to launch a Nokia Nexus with PureView :) that would be enough to test the market -
back_by_demand "Interestingly, Nokia refused to comment on the report when reached by Reuters. Could that mean the company is open to a sale?" - not likely, an offhand comment from another company gives them an unexpected share price boost, so why go out of your way to dispell the rumour, just bask in the share price increase for a whileReply -
calguyhunk Reply10999770 said:you realize that the only reason they're financially afloat is probably due to some massive exclusive deal with Microsoft right?
The deal Nokia signed with MS in June 2011 was a "Non-Exclusive" deal ;)