Feeds

Phone biz booms, but Qualcomm rues Euro cabal

Nokia rings ups the profits

Secure remote control for conventional and virtual desktops

Roundup Nokia reported a net profit of €1.273bn in Q4, €4.3bn for 2006 on sales of €11.7bn for the quarter, and €41.1bn for the year today. That's up 13 per cent and 19 per cent respectively, year on year.

Nokia's phones division contributed 7bn to the quarter, however profits in the $2bn-turnover networks division fell sharply ahead of the merger with Siemens announced last June. Nokia took a hit of €128m in the year for bailing out of the CDMA business. Operating margin for the phones division was 13 per cent.

Siemens CFO said today he now expects to close the merger of the former Commmunications with Nokia before the end of Q2.


Qualcomm also benefited from higher demand. The semiconductor chipset and licensing business saw earnings grow five per cent year on year, to $648m, with revenue up 16 per cent to top $2bn.

The company said that its legal battles, including a long-running epic against Nokia, would cut into profits. Nokia's license is due to expire on April 9, and if there's no new deal, Nokia will stop paying royalties.

Qualcomm president Steve Altman said the companies challenging the W-CDMA (UMTS) royalty split - including Nokia, Ericsson and TI - represented "an orchestrated attack" on the company.

Altman said the six have been referring to themselves as "Project Stockholm".

"Yeah, it's a super-secret society, and the only reason to gather is to stick pins in a Paul Jacobs doll."


Global mobile phone shipments topped 1 billion last year, according to research firm Strategy Analytics, a 25 per cent in crease over the previous year.

Nokia has clawed back much of its lost market share, reaching 35.2 per cent in the final quarter. Falling prices pegged its margin to 15 per cent (it's actually lower, as Nokia revealed today). Motorola's shipments grew 47 per cent during the final quarter, although it was clobbered by the markets after its margin fell to just 4 per cent. Moto maintained second place with 21.9 per cent in Q4. Samsung is losing out to rivals Sony Ericsson and Motorola in the feature phone market, and to Nokia at the high end, and while its market share (10.7 per cent) saw it claim third place, it was overtaken in dollar value sales by Sony Ericsson (8.7 per cent in Q4).

Strategy Analytics predicts 1.15bn phones will ship this calendar year, 12 per cent higher than 2006. ®

Boost IT visibility and business value

More from The Register

next story
Assange™: Hey world, I'M STILL HERE, ignore that Snowden guy
Press conference: ME ME ME ME ME ME ME (cont'd pg 94)
Premier League wants to PURGE ALL FOOTIE GIFs from social media
Not paying Murdoch? You're gonna get a right LEGALLING - thanks to automated software
Online tat bazaar eBay coughs to YET ANOTHER outage
Web-based flea market struck dumb by size and scale of fail
Amazon takes swipe at PayPal, Square with card reader for mobes
Etailer plans to undercut rivals with low transaction fee offer
US regulators OK sale of IBM's x86 server biz to Lenovo
Now all that remains is for gov't offices to ban the boxes
XBOX One will learn to play media from USB and DLNA sources
Hang on? Aren't those file formats you hardly ever see outside torrents?
Class war! Wikipedia's workers revolt again
Bourgeois paper-shufflers have 'suspended democracy', sniff unpaid proles
prev story

Whitepapers

Endpoint data privacy in the cloud is easier than you think
Innovations in encryption and storage resolve issues of data privacy and key requirements for companies to look for in a solution.
Implementing global e-invoicing with guaranteed legal certainty
Explaining the role local tax compliance plays in successful supply chain management and e-business and how leading global brands are addressing this.
Top 8 considerations to enable and simplify mobility
In this whitepaper learn how to successfully add mobile capabilities simply and cost effectively.
Solving today's distributed Big Data backup challenges
Enable IT efficiency and allow a firm to access and reuse corporate information for competitive advantage, ultimately changing business outcomes.
Reg Reader Research: SaaS based Email and Office Productivity Tools
Read this Reg reader report which provides advice and guidance for SMBs towards the use of SaaS based email and Office productivity tools.