Speculations about who might buy Nokia’s handset manufacturing division
Shortly after we told you that Nokia’s Anssi Vanjoki doesn’t exclude the possibility of Nokia selling its handset division, now speculations about who might buy it are starting to appear.
Chinese newspaper Economic Daily News says that, in case Nokia does indeed want to sell its phone making business, Foxconn Electronics (“the largest manufacturer of electronics and computer components worldwide” according to Wikipedia) may be one of the companies to buy it.
Other potential buyers are Compal, Lite-On Technology, Elcoteq and Jabil.
Speculations aside, it looks like Nokia is now retracting the words of Mr. Vanjoki by saying that:
“Our logistics and manufacturing network is a very important competitive advantage for us, and a core part of our business.”
“We have no plans to change our business model.”
Well, that sounds only natural, given that the original Anssi Vanjoki quote talks only about some hypothetical event in some distant future. And Nokia’s logistical and manufacturing does give them a leg up against rivals in some cases, especially on the low to mid end, high volume handsets.
But I also wonder, why would a Nokia exec float such an idea at all. And it also kind of reminds me of the whole way unofficial hints about Nokia entering the netbook market, started appearing in the press a year ago.
So, as Nokia’s success starts to depend on software and services more and more, I also will not rule out it getting out of low margin manufacturing biz, a year or two down the road.