Nokia SEC Report Lists Windows Phone As a Risk Factor
The SEC (U.S. Securities and Exchange Commission) has received the 20-F form (registration statement/annual report/transition report) from Nokia — as any publicly traded company should send it in — and it looks like things aren’t going that well in the Windows Phone department.
The Finnish company reported a EUR1.4b (around $1.85b) annual loss which can’t even compare to the EUR1.3b in profit reported the year before. However, after the company told the world — with the occasion of its Q4 2011 financial report — that they have sold “well over 1 million” Lumia Windows Phones, the 20-F form lists the Microsoft platform under section 3D, which stands for “Risk Factors”.
“Our plans to introduce and bring to market quantities of attractive, competitively priced Nokia products with Windows Phone that receive broad market acceptance and are positively differentiated from competitors’ products, both outside and within the Windows Phone ecosystem are subject to certain
risks and uncertainties, which could, either individually or together, significantly impair our ability to compete effectively in the smartphone market”, the wording goes.
The section also deals with reasons why Windows Phone is considered a risk factor for Nokia: the fact that it is a new platform, less attractive to developers, with hardware limitations, manufacturing difficulties, delays, the fact that “consumers may not prefer the Windows Phone user experience, interface or software functionality”, and so on.
It’s an interesting read and it is sure fascinating to see how Nokia sees its (risky) future with Windows Phone, after a little more than one year after its strategic alliance with Microsoft. Hit the source link to read more!