Nokia focuses on patent, brand and technology licensing and targets faster growth in digital health with sharpened strategy for Nokia Technologies
(Thomson Reuters ONE) -
Press Release
* Increased focus on digital health and brand and technology licensing
balanced with optimized investments in virtual reality
* Planned changes expected to impact Nokia Technologies employees mainly in
Finland, the US and the UK
* Nokia's successful patent licensing business is not in scope of planned
changes
October 10, 2017
Espoo, Finland - Nokia today announced plans to sharpen the focus of Nokia
Technologies on digital health, and accelerate growth in that market, while
optimizing investments in virtual reality (VR). Nokia Technologies will also
focus on growing brand and technology licensing while leaving its successful
patent licensing business untouched.
The shift deepens Nokia's commitment to fully leverage its digital health
portfolio acquired through the purchase of Withings in 2016. Through a more
focused, more agile digital health business, Nokia aims to have larger impact
with consumers and the medical community.
In digital media, the slower-than-expected development of the VR market means
that Nokia Technologies plans to reduce investments and focus more on technology
licensing opportunities. The unit aims to halt development of further versions
of the OZO VR camera and hardware, while maintaining commitments to existing
customers.
The potential reductions are expected to affect up to 310 of the roughly 1090
employees in Nokia Technologies, mainly in Finland, the US and the UK. To start
the process, Nokia today has invited employee representatives of Nokia
Technologies in Finland to cooperation negotiations.
"Nokia Technologies is at a point where, with the right focus and investments,
we can meaningfully grow our footprint in the digital health market, and we must
seize that opportunity," said Gregory Lee, president of Nokia Technologies.
"While necessary, the changes will also affect our employees, and as a
responsible company we are committed to providing the needed support to those
affected."
About Nokia
We create the technology to connect the world. Powered by the research and
innovation of Nokia Bell Labs, we serve communications service providers,
governments, large enterprises and consumers, with the industry's most complete,
end-to-end portfolio of products, services and licensing.
From the enabling infrastructure for 5G and the Internet of Things, to emerging
applications in digital health, we are shaping the future of technology to
transform the human experience. www.nokia.com
Media Inquiries:
Nokia
Communications
Phone: +358 (0) 10 448 4900
E-mail: press.services(at)nokia.com
FORWARD-LOOKING STATEMENTS
It should be noted that Nokia and its businesses are exposed to various risks
and uncertainties and certain statements herein that are not historical facts
are forward-looking statements, including, without limitation, those regarding:
A) our ability to integrate Alcatel-Lucent into our operations and achieve the
targeted business plans and benefits, including targeted synergies in relation
to the acquisition of Alcatel-Lucent; B) expectations, plans or benefits related
to our strategies and growth management; C) expectations, plans or benefits
related to future performance of our businesses; D) expectations, plans or
benefits related to changes in organizational and operational structure; E)
expectations regarding market developments, general economic conditions and
structural changes; F) expectations and targets regarding financial performance,
results, operating expenses, taxes, currency exchange rates, hedging, cost
savings and competitiveness, as well as results of operations including targeted
synergies and those related to market share, prices, net sales, income and
margins; G) expectations, plans or benefits related to any future collaboration
or to business collaboration agreements or patent license agreements or
arbitration awards, including income to be received under any collaboration or
partnership, agreement or award; H) timing of the deliveries of our products and
services; I) expectations and targets regarding collaboration and partnering
arrangements, joint ventures or the creation of joint ventures, and the related
administrative, legal, regulatory and other conditions, as well as our expected
customer reach; J) outcome of pending and threatened litigation, arbitration,
disputes, regulatory proceedings or investigations by authorities; K)
expectations regarding restructurings, investments, capital structure
optimization efforts, uses of proceeds from transactions, acquisitions and
divestments and our ability to achieve the financial and operational targets set
in connection with any such restructurings, investments, capital structure
optimization efforts, divestments and acquisitions; and L) statements preceded
by or including "believe," "expect," "anticipate," "foresee," "sees," "target,"
"estimate," "designed," "aim," "plans," "intends," "focus," "continue,"
"project," "should," "is to," "will" or similar expressions. These statements
are based on management's best assumptions and beliefs in light of the
information currently available to it. Because they involve risks and
uncertainties, actual results may differ materially from the results that we
currently expect. Factors, including risks and uncertainties that could cause
these differences include, but are not limited to: 1) our ability to execute our
strategy, sustain or improve the operational and financial performance of our
business and correctly identify and successfully pursue business opportunities
or growth; 2) our ability to achieve the anticipated benefits, synergies, cost
savings and efficiencies of the acquisition of Alcatel-Lucent, and our ability
to implement our organizational and operational structure efficiently; 3)
general economic and market conditions and other developments in the economies
where we operate; 4) competition and our ability to effectively and profitably
compete and invest in new competitive high-quality products, services, upgrades
and technologies and bring them to market in a timely manner; 5) our dependence
on the development of the industries in which we operate, including the
cyclicality and variability of the information technology and telecommunications
industries; 6) our global business and exposure to regulatory, political or
other developments in various countries or regions, including emerging markets
and the associated risks in relation to tax matters and exchange controls, among
others; 7) our ability to manage and improve our financial and operating
performance, cost savings, competitiveness and synergies generally or after the
acquisition of Alcatel-Lucent; 8) our dependence on a limited number of
customers and large multi-year agreements; 9) exchange rate fluctuations, as
well as hedging activities; 10) Nokia Technologies' ability to protect its IPR
and to maintain and establish new sources of patent licensing income and IPR-
related revenues, particularly in the smartphone market; 11) our ability to
successfully realize the expectations, plans or benefits related to any future
collaboration or business collaboration agreements and patent license agreements
or arbitration awards, including income to be received under any collaboration,
partnership, agreement or arbitration award; 12) our dependence on IPR
technologies, including those that we have developed and those that are licensed
to us, and the risk of associated IPR-related legal claims, licensing costs and
restrictions on use; 13) our exposure to direct and indirect regulation,
including economic or trade policies, and the reliability of our governance,
internal controls and compliance processes to prevent regulatory penalties in
our business or in our joint ventures; 14) our ability to identify and remediate
material weaknesses in our internal control over financial reporting; 15) our
reliance on third-party solutions for data storage and service distribution,
which expose us to risks relating to security, regulation and cybersecurity
breaches; 16) inefficiencies, breaches, malfunctions or disruptions of
information technology systems; 17) Nokia Technologies' ability to generate net
sales and profitability through licensing of the Nokia brand, particularly in
digital media and digital health, and the development and sales of products and
services, as well as other business ventures which may not materialize as
planned; 18) our exposure to various legislative frameworks and jurisdictions
that regulate fraud and enforce economic trade sanctions and policies, and the
possibility of proceedings or investigations that result in fines, penalties or
sanctions; 19) adverse developments with respect to customer financing or
extended payment terms we provide to customers; 20) the potential complex tax
issues, tax disputes and tax obligations we may face in various jurisdictions,
including the risk of obligations to pay additional taxes; 21) our actual or
anticipated performance, among other factors, which could reduce our ability to
utilize deferred tax assets; 22) our ability to retain, motivate, develop and
recruit appropriately skilled employees; 23) disruptions to our manufacturing,
service creation, delivery, logistics and supply chain processes, and the risks
related to our geographically-concentrated production sites; 24) the impact of
litigation, arbitration, agreement-related disputes or product liability
allegations associated with our business; 25) our ability to optimize our
capital structure as planned and re-establish our investment grade credit rating
or otherwise improve our credit ratings; 26) our ability to achieve targeted
benefits from or successfully achieve the required administrative, legal,
regulatory and other conditions and implement planned transactions, as well as
the liabilities related thereto; 27) our involvement in joint ventures and
jointly-managed companies; 28) the carrying amount of our goodwill may not be
recoverable; 29) uncertainty related to the amount of dividends and equity
return we are able to distribute to shareholders for each financial period; 30)
pension costs, employee fund-related costs, and healthcare costs; and 31) risks
related to undersea infrastructure, as well as the risk factors specified on
pages 67 to 85 of our 2016 annual report on Form 20-F under "Operating and
financial review and prospects-Risk factors" and in our other filings with the
U.S. Securities and Exchange Commission. Other unknown or unpredictable factors
or underlying assumptions subsequently proven to be incorrect could cause actual
results to differ materially from those in the forward-looking statements. We do
not undertake any obligation to publicly update or revise forward-looking
statements, whether as a result of new information, future events or otherwise,
except to the extent legally required.
This announcement is distributed by Nasdaq Corporate Solutions on behalf of Nasdaq Corporate Solutions clients.
The issuer of this announcement warrants that they are solely responsible for the content, accuracy and originality of the information contained therein.
Source: NOKIA via GlobeNewswire
Unternehmensinformation / Kurzprofil:
Datum: 10.10.2017 - 08:07 Uhr
Sprache: Deutsch
News-ID 563006
Anzahl Zeichen: 12310
contact information:
Town:
Espoo
Kategorie:
Business News
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