Nokia disputes Apple’s ‘largest mobile device company’ claim | iLounge News

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Nokia disputes Apple’s ‘largest mobile device company’ claim

In a posting on Nokia’s official Conversations blog, Mark Squires, head of social media communications for the Finnish company, has disputed Apple CEO Steve Jobs’ claim that Apple is, by revenue, now “the largest mobile devices company in the world.” The article refers to a story from Finnish paper Helsingin Sanomat, quoting Nokia CEO Olli-Pekka Kallasvuo saying that Nokia is the world’s biggest mobile device manufacturer, when using a “generally accepted and stable definition of mobile devices,” which excludes laptops. Squires then references Sanomat’s revenue comparison between the two company’s October-December financial results, which stated that Nokia saw revenue of €8.18 billion from its devices and services business during the period, while Apple—even using its own definition of mobile devices—saw revenue of only €7.25 billion.

An analysis of Apple’s reported earnings (PDF Link) does not bear this out, however, as Apple’s revenue from iPod, iPhone, and laptop sales was $11.73 billion, or €8.45 billion, during the December quarter. Removing revenue from laptop sales does leave Apple behind Nokia, resulting in revenues of $8.97 billion, or €6.46 billion, during the period; it is unclear how Helsingin Sanomat arrived at the €7.25 billion number, but it appears to be incorrect. Squires goes on to point out that Nokia remains far ahead of Apple in terms of total devices sold. Nokia and Apple have recently been engaged in an ongoing legal battle, each company accusing the other of patent infringement, with the U.S. International Trade Commission launching an official probe into possible infringement on Apple’s part earlier this week.

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Comments

1

It’s all about marketing and Apple are masters. Look at all the hype going on with the iPad name. Sure Nokia sells more handsets, but who cares about the numbers. It’s impressions and appearances and conversations and beliefs that matter.

Posted by drakebullet on January 29, 2010 at 7:25 PM (CST)

2

Selling Devices at or below cost doesn’t really contribute to profit.
Also, I wonder if he’s counting Nokia Booklet 3G sales?

Posted by Dan Woods on January 29, 2010 at 7:25 PM (CST)

3

The iPad is a larger mobile device than anything made by nokia.  Therefor, nokia cannot dispute apple’s claim of being “the largest mobility devices company in the world.”  It’s possible some other company makes the largest mobility devices, but it is certainly not nokia.

Posted by nobody on January 30, 2010 at 11:20 AM (CST)

4

@1: Who cares about numbers? Answer: everyone not in love with ephemera. Appearances and beliefs have this funny problem: they’re not real - unless mind share translates into market share, appearances and beliefs don’t do anything.

By all means, Apple has been tremendously successful with the iPhone, but as the above shows clearly, not only is Nokia ahead in numbers of handsets sold, but also in revenue from handsets sold. So, how again do you justify your claim that neither numbers sold nor revenue counts, but only the appearances and beliefs of those bamboozled by Apple’s marketing?

The iPhone is going to continue to be a very successful product, no doubt about it, but it has a lot of solid competition in features, carriers, and price points that it can do nothing to address. All the appearances and beliefs in the world aren’t going to make the considerably larger handset market (of which Nokia is but one player) insignificant. It’s one thing when you hold around 70% of the total market, as Apple does with all mp3 players, it’s quite another thing when your “domination” can only be declared by very careful defining of criteria and, in the case of the referenced article, combining the revenue from cell phones and laptop computers, an odd choice indeed.

Posted by Code Monkey in Midstate New York on February 1, 2010 at 10:04 AM (CST)

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