Nokia 2010 Annual Report Download - page 42

a leading provider of comprehensive digital map information and related locationbased content
and services, as well as Trolltech, whose Qt technology forms the basis of the tools we and third
party developers use to develop services and applications for Nokia smartphones. In 2010, we
acquired Motally, whose mobile analytics service enables developers and publishers to optimize
the development of their mobile applications through increased understanding of how users
engage; MetaCarta to obtain its geographic intelligence technology and expertise; and Novarra,
whose mobile browser and services platform is being used by Nokia to deliver enhanced Internet
experiences on Nokia’s Series 40based mobile phones.
• We are also partnering with third parties as we seek to create the best user experiences for
our customers. For instance, in 2010, we formed an alliance with Yahoo!, whereby Nokia is the
exclusive, global provider of Yahoo!’s maps and navigation services, integrating Ovi Maps
across Yahoo! properties, and Yahoo! is the exclusive, global provider of Nokia’s Ovi Mail and
Ovi Chat services.
• In 2010, Nokia Siemens Networks announced that it had entered into an agreement to acquire
the majority of the wireless network infrastructure assets of Motorola. The planned acquisition
is expected to enhance Nokia Siemens Networks’ capabilities in key wireless technologies,
including WiMAX and CDMA, and strengthen its market position in key geographic markets, in
particular Japan and the United States. Nokia Siemens Networks is also targeting to gain
incumbent relationships with more than 50 operators and strengthen relationships with
certain of the largest communication service providers globally as a result of the acquisition.
The Motorola acquisition is expected to close after the final antitrust approval by the Chinese
regulatory authorities has been granted and the other closing conditions have been met.
• As part of our efforts to concentrate on services that we have identified as core to Nokia’s
offering, we have also made disposals, including, most recently, the sale of our wireless
modem business to Renesas Electronics Corporation as part of a strategic business alliance
between the two companies to develop modem technologies for HSPA+/LTE (Evolved High
Speed Packet Access / LongTerm Evolution) and its evolution.
• In February 2011, Nokia announced a new strategy, leadership team and operational structure
designed to accelerate our speed of execution in the intensely competitive mobile products
market. The main elements of the new strategy include: plans for a broad strategic partnership
with Microsoft to build a new global mobile ecosystem, with Windows Phone serving as
Nokia’s primary smartphone platform; a renewed approach to capture volume and value
growth to connect “the next billion” to the Internet in developing growth markets; focused
investments in nextgeneration disruptive technologies; and a new leadership team and
operational structure designed to focus on speed, accountability and results.
Organizational Structure
We currently have three operating and reportable segments for financial reporting purposes:
Devices & Services; NAVTEQ; and Nokia Siemens Networks.
Devices & Services is responsible for developing and managing our portfolio of mobile products,
which we make for all major consumer segments, as well as designing and developing services,
including applications and content, that enrich the experience people have with their mobile devices.
Devices & Services also manages our supply chains, sales channels, brand and marketing activities and
explores corporate strategic and future growth opportunities for Nokia.
As of April 1, 2011, we will have a new operational structure, which features two distinct business
units in Devices & Services business: Smart Devices and Mobile Phones. They will focus on our key
business areas: smartphones and massmarket mobile phones. Each unit will have profitandloss
responsibility and endtoend accountability for the full consumer experience, including product
development, product management and product marketing.
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