Elop revealed in an interview that according to the cooperation agreement reached between the two companies, Nokia will use Windows Phone as its main smartphone operating system, and Microsoft will need to provide certain financial assistance to Nokia. Although Nokia needs to pay Microsoft the copyright of Windows Phone software, Elop said that the cooperation can help Nokia “relieve a lot of operating costs†because Nokia itself does not need to invest large sums of money into its own operating system.
After Nokia announced its cooperation with Microsoft last Friday, Nokia's share price fell 14%. Analysts said this was because investors believed Microsoft had the upper hand in the deal. Elop acknowledged that Nokia is facing serious challenges in the mobile phone market. However, Nokia still has a dominant market share in this market, which allows the company to maintain its advantages in negotiations with Microsoft and Google. Although Nokia has lagged behind Apple's iPhone and Google's Android phones in technology development in recent years, the company still holds a leading position among global handset manufacturers.
Elop said that both Microsoft and Google believe that establishing a strategic partnership with Nokia will have a decisive impact on the company's mobile products, so both companies are willing to reach a cooperation agreement with Nokia.
Elop pointed out, "We are very flexible, we can turn to Android or establish a third industry ecosystem."
A Microsoft spokesman said the company will not comment on the financial terms of the agreement.
Elop said in a telephone interview that as part of the cooperation agreement, Microsoft's payment to Nokia will ensure the success of Nokia's Windows Phone handsets in the market. These funds will be used for marketing and research and development costs, both Hope that Nokia's Windows Phone phone can be distinguished from other competitors. Elop said Microsoft and Nokia have reached a consensus on the future direction of development.
Elop also pointed out that Nokia will also develop advertising profit channels through this cooperation agreement. Elop added that the agreement will allow Microsoft to gain Nokia's extensive intellectual property portfolio in the mobile phone market to strengthen Windows Phone.
In the end, Elop said that Microsoft’s rumors of Nokia’s acquisition “have not appeared on the negotiating tables of the two companiesâ€. Elop said that most of Nokia's business lies in the development of mobile phone markets in emerging countries including India. This is an area that Microsoft has not involved.
Nokia Claims Microsoft's Billions of Dollars Support
According to foreign media reports, Nokia CEO Stephen Elop said in an interview today that in the initial years of cooperation with Microsoft, Nokia will receive Microsoft’s “multi-billion dollar†financial support to expand the market and develop Windows. Phone operating system phone.