Nokia is not one of the major players in the US smartphone market, though they do tremendously well overseas. Yahoo has been struggling in Google’s shadow for some time despite some recent positive strides (including a deal with Microsoft). Yahoo currently gets about 8 times less unique page views than Google. The two somewhat downtrodden companies have decided to team up, hoping that complimentary features will mesh to create a product that can compete with the big boys.
Depending on the expert, this is a smart move or a yawn-inducing one. SeekingAlpha says, “the companies will leverage each others’ strengths in e-mail, instant messaging, digital maps and navigation services. We believe this partnership could help Nokia resurrect its declining mobile phone market share in developed markets like the US and Western Europe.” PC World counters by saying, “…it’s understandable that the two yahoos — Yahoo and Nokia, that is — would want some help. But it’s hard to imagine that turning to each other is going to make much difference.”
Bernstein Research analyst Pierre Ferragu says, “One could always say the partnering of losers doesn’t make a winner. It is often true, but for Nokia, the right future that could lead to an interesting investment case is more about stabilizing its existing position and being successful in the mobile platform game, riding on the back of Apple and Google coattails only.” The companies are hoping to get in on the very competitive field of mobile media against such giants as Google and Apple, who do not appear to be very welcoming of any new competition. Or of each other for that matter.
Yahoo and Nokia will team up to offer enhanced mail, chat, and map features to users.
More Music News From Around the Web Today . . .