Print 44 comment(s) - last by jive.. on Sep 23 at 7:21 AM

Nokia's Anssi Vanjoki
Exiting Nokia exec guns for Android

There has been a lot of turmoil at Nokia in the past few weeks. Nokia CEO Olli-Pekka Kallasvuo was ousted and replaced by a former Microsoft exec, Stephen Elop. Just days later, Executive Vice President Anssi Vanjoki announced that he would leave the company within six months.

With all the hubbub surrounding these departures and Nokia's efforts to launch new products, an article on Vanjoki in the Financial Times went unnoticed last week. Engadget managed to pick up on the piece in which Vanjoki is highly critical of Google's Android operating system.

Vanjoki states that smartphone manufacturers are flocking to Android, seeing it as a panacea to help boost profits. However, he states that using Android is only a short-term solution, and it won't be viable in the long-term as more manufacturers hop on the bandwagon and it becomes harder to differentiate between handsets.

Vanjoki bluntly states that manufacturers who use Android are like Finnish boys who "pee in their pants" to stay warm in the cold of winter.

Harsh words indeed, but this isn't the first time that we've heard such criticism of Android. Microsoft has long voiced its opposition to Android and most recently made it clear that the mobile operating system should not be considered "free" because of associated legal risks.

“It does infringe on a bunch of patents, and there’s a cost associated with that,” said Microsoft CFO Tivanka Ellawala. “So there’s a... cost associated with Android that doesn’t make it free.”

For the time being, both Nokia and Microsoft should be worried about Android growing even stronger in the U.S. market. Android has already surpassed Apple is making a run at RIM.

Comments     Threshold

This article is over a month old, voting and posting comments is disabled

RE: Already an issue for Android.
By bplewis24 on 9/21/2010 10:57:30 AM , Rating: 5
If by "issue" you mean "long-term growth strategy to ensure they are a huge player in the market" then yes, you are correct. It is an "issue" just like it is with Microsoft Windows and their PC hardware manufacturers.


RE: Already an issue for Android.
By superPC on 9/21/2010 10:59:27 AM , Rating: 5
that's right. windows drive more than 80% of PC and yet PC maker have no problem differentiating themself. why can't cell phone maker do the same?

RE: Already an issue for Android.
By quiksilvr on 9/21/2010 12:05:45 PM , Rating: 2
Of course PCs have trouble differentiating themselves and when they try, they bloat the OS with useless software and their own special "skin".

What Android makers need to do is leave stock Android as stock Android and have an APP over the OS to make it look cool and give the user the option to change things up.

There is also room for business in this as well. Suppose someone with a Droid 2 doesn't want MotoBlur or whatever it's called but is willing to spend $5-$10 for HTC's Sense UI. Well, voila! They can uninstall MotoBlur and do so. That is exactly what the market needs right now.


By theArchMichael on 9/21/2010 5:10:26 PM , Rating: 2
I agree with you. Some people like that crap, let them buy it on the app store. Supposedly gingerbread, Android 3.0, will not allow manufacturer skinning customizations.

I think the idea of these customizations is give the user an experience that they will get used to... so that when they purchase another "Android Phone" they won't choose another manufacturer. Suits all think the same way... How about they just try to provide the best hardware running Android at the lowest price? That might just be crazy enough to work!

RE: Already an issue for Android.
By cditty on 9/21/2010 8:14:08 PM , Rating: 2
I agree with you on that. Selling you're skin in the market would be a great idea. I really prefer stock Android, but I do like Sense.

By retrospooty on 9/22/2010 8:15:09 AM , Rating: 2
"Of course PCs have trouble differentiating themselves and when they try, they bloat the OS with useless software "

THat useless software isnt to distinguish themselves, its to make money. The makers of the useless software generally pay them to be put on each machine to generate business, sales and even relevance. It keeps the prices down. Still useless and irritating, but the reason is not to distinguish.

By robinthakur on 9/22/2010 9:08:23 AM , Rating: 2
I can see why this might become a problem for the handset manufacturers (especially as Gingerbread won't allow hardwired skins) trying to differentiate their phones. In your model, people would read reviews of all the different skins, establish quickly which one was best and then only buy that one. Would people really be prepared to pay for them? I don't think so. There's also the loss of face for a company like Motorola to see its name on a product running a competitor's OS skin (i.e. not exactly advertising the brand) which flies in the face of all its previous instincts because it makes their customers more promiscuous to other brands if its just about the hardware.

However, even right now there are only one or two 'best' Android phones, with the rest being largely forgotten to people that know what they're talking about e.g. HTC Desire, Droid2, Galaxy Pro. The danger for manufacturers like LG, is that their new device won't factor within the top echelons and will therefore get quickly forgotten unless its heavily subsidised by carrier deals etc. You then get phones being released more frequently to constantly improve on the specs of the competitors' efforts, but somebody still needs to purchase all these handsets for the companies to turn a profit on all the R&D, otherwise the piece of the pie which the manufacturers can take home gets unaccceptably small. This works well for a smaller company like HTC who can turn around a product very quickly to market, but for the rest, its going to be a problem, in my view.

From the power users which Android attracts, you also have the pressure that they generally don't want *any* differentiators, operator logos or much customisation of the core Android OS which they can't easily remove, in which case, Google's model of only selling phones like the Nexus 1 through them would be a better fit than the current free-for-all.

RE: Already an issue for Android.
By snakeInTheGrass on 9/21/2010 11:05:46 AM , Rating: 2
If WinMo7 does well, Microsoft will make money and be a large player - but that isn't the issue he's talking about at all.

The issue - as for Android - is that the better it does, the more the manufacturers using it are all competing with each other in a race to the bottom in terms of profit margins, so it will look just like the PC industry has for years. If everyone is making Android handsets, the advantage of using Android in terms of not having to pay the Windows licensing fees pretty well disappears since nobody is paying that fee - and prices just get pushed down by that amount.

So (much like HP picking up Pre) Nokia isn't going to jump into Android - the vertical stack is the only way to try to ensure better margins and profits by delivering products with more innovative/better integrated features. Now executing on that vision is of course another matter, but in principle what he's saying is totally sound.

RE: Already an issue for Android.
By bug77 on 9/21/2010 11:17:18 AM , Rating: 5
Indeed, it's going to be an incredible situation: hardware manufacturers competing with each other with only hardware to differentiate between them. That can't be good, can it?

RE: Already an issue for Android.
By Laitainion on 9/21/2010 11:34:50 AM , Rating: 4
It's not a problem if the software is good, but what happens when there really is only one phone operating system? We'll get Internet Explorer 6 all over again, competition on both the hardware and software front, with multiple hand-set makers using multiple operating systems seems the best solution to me.

RE: Already an issue for Android.
By Tamale on 9/21/2010 11:41:43 AM , Rating: 2
don't worry, apple and rim won't start using android any time soon.

i'm glad to see android taking off.. it's finally starting to feel like innovation is driving the smartphone market instead of 'features'.

RE: Already an issue for Android.
By Tamale on 9/21/2010 11:41:43 AM , Rating: 2
don't worry, apple and rim won't start using android any time soon.

i'm glad to see android taking off.. it's finally starting to feel like innovation is driving the smartphone market instead of 'features'.

RE: Already an issue for Android.
By bug77 on 9/21/2010 11:45:01 AM , Rating: 3
I think Android is only meant to provide a baseline for mobile OSes. If it takes over the market entirely, it would just mean that baseline is good enough for everyone. And it may very well lead to stagnation, but not anytime soon.

RE: Already an issue for Android.
By kattanna on 9/21/10, Rating: -1
RE: Already an issue for Android.
By mcnabney on 9/21/2010 12:26:41 PM , Rating: 3
A smartphone is just a portable computer.

It brings automation, connectivity, and entertainment everywhere you go.

RE: Already an issue for Android.
By Wererat on 9/21/2010 12:41:16 PM , Rating: 3
What else does a phone need to do? Lately I've:
- Reviewed and composed documents, spreadsheets, and presentations (Documents to Go);
- Streamed music (Last.FM);
- Checked the weather (Weather Channel);
- Read and replied to work and personal email (browser, Yahoo Mail and Gmail apps);
- Received tweets (Tweetcaster);
- Took pictures documenting another driver's fault in an accident (built-in camera);
- Navigated to an unfamiliar place halfway across the state (Sprint Navigation)
- Verified router placement by checking wi-fi signal strength dynamically (Tricorder);
- Leveled a dryer (Bubble)
- Tuned a guitar (gStrings); and
- Used the phone's MicroSD card as storage for many documents rather than carrying standalone USB flash memory sticks.

"Phone" isn't really accurate any more; it's more like "palm-sized PC."

RE: Already an issue for Android.
By jive on 9/23/2010 7:07:48 AM , Rating: 1
nice post which just proves the original question. The phone is to make calls from one to one or many to many persons. From the list above you seemed to to everything else but make calls.

RE: Already an issue for Android.
By hr824 on 9/21/2010 11:56:23 AM , Rating: 3
Ahh what just happened? The consumer wins when companies compete is that a bad thing all of a sudden?

Of course in the US that's not really true since it doesnt matter how much your cell provider pays for the hand set it will still be $500 to $600 dollars with a 2 year contract.

By theapparition on 9/21/2010 12:03:47 PM , Rating: 3
From a company perspective, I somewhat agree. Problem is that vertical integration is not good for consumers in the long run. Another point to note, is that consumer adoption of vertical integrated products only works when there are no alternatives. With Android on the market, that effectively eliminates other companies being successful with completly closed solutions.

It has been a rather successful implementation for Apple, but other manufacturers will not see the same results to copy Apple's business model. Look at what we see happening with handset new sales. Android sales are through the roof while Apple sales are somewhat faltering (new customer adoption is very low) and the major entrenched player, RIM, is seeing the most impact.

I understand Nokia's position that if they adopt Android they will just be another hardware "also ran" competing on price/features/quality. If they play in thier own sandbox, rather than going to the Google playground, they can make thier own rules.

That's a dangerous game to play, however. They may find themselves on the outside looking in as more and more consumers chose the Android route.

RE: Already an issue for Android.
By sviola on 9/21/2010 11:41:33 AM , Rating: 2
Well, in PC market the huge player is Microsoft The rest, Dell, HP, Acer, among others, compete for low margins, and thus, need to sell huge volumes. In an Android market, Google will be the winner, while HTC, Motorola and SE, will face the same situation as their PC counterparts.

Hardware easily becomes a commodity after some time, so software is the way to go, with much higher margins (and unlike hardware, there is only the upfront development cost, as there is no production cost). Nokia understands this and is focusing in improving their software position (that is why they hired the former MS Business Software Division Executive). As does HP, which bought Palm for webOS. Even Apple gets it (their focus now is on App and Media). If Nokia software plataform is successful, you might even see them ditching hardware manufacturing in the future (they may keep having branded phones though).

"This week I got an iPhone. This weekend I got four chargers so I can keep it charged everywhere I go and a land line so I can actually make phone calls." -- Facebook CEO Mark Zuckerberg

Latest Headlines
Inspiron Laptops & 2-in-1 PCs
September 25, 2016, 9:00 AM
The Samsung Galaxy S7
September 14, 2016, 6:00 AM
Apple Watch 2 – Coming September 7th
September 3, 2016, 6:30 AM
Apple says “See you on the 7th.”
September 1, 2016, 6:30 AM

Most Popular ArticlesAre you ready for this ? HyperDrive Aircraft
September 24, 2016, 9:29 AM
Leaked – Samsung S8 is a Dream and a Dream 2
September 25, 2016, 8:00 AM
Inspiron Laptops & 2-in-1 PCs
September 25, 2016, 9:00 AM
Snapchat’s New Sunglasses are a Spectacle – No Pun Intended
September 24, 2016, 9:02 AM
Walmart may get "Robot Shopping Carts?"
September 17, 2016, 6:01 AM

Copyright 2016 DailyTech LLC. - RSS Feed | Advertise | About Us | Ethics | FAQ | Terms, Conditions & Privacy Information | Kristopher Kubicki