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Dilemma of Nokia and Samsung in Smart phones

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Nokia and Samsung, Monsters of mobile phone, sales more than 60 percent in the market at now. But as you know, in regarding to Smart phone market, they’re challengers to Apple and RIM.(Strictly Samsung has overcome the poor figures in recent survey but Nokia with new CEO doesn’t show anything yet)

The dilemma is come from that Samsung is trying to widespread own platform ‘Bada’ and Nokia also should do same thing with ‘Meego’, replacing the Old Symbian.

As you know the success of platform is depending on how many customers use it and customers like to use many useful applications on smart phones. If a lot of phones are in use, more application companies and developers will join. But recent increased sales figures of Samsung in the smart phone market thanks to Android not Bada. It means that when they sell Android smart phones more and more, it makes developers move to Android world.

Then how can they attract the developers? Contests for winning prize 10,000 USD? Or Do everything by themselves?(It’s impossible coz Samsung is not SW company. They’re HW maker)

Stopping to develop the Android phones is one option for them. But you should be aware that it will lead to drop the revenue and sales numbers for a few years. (A few years can be a very long time like 10 or 20 years if Bada can’t appeal to customers. Stockholders don’t like it)

A same scenario can be applied to Nokia. The refusal for adopting Android in their smart phones leads the terrible market share, change of CEO, layoff, etc. The old Symbian is stable but innovation is very slow. If they think it’s too late to develop new platform replacing Symbian, they should accept Android. Instead they choose Meego with Intel but there is no real Meego phones yet. In addition to this, MS’s new Windows phone 7 is shown up.

The number of developers is limited. Under experienced developers, the number is smaller. Apple got enough already and Android is likewise. I think left will be move to MS or RIM.

Let’s get down to the nitty-gritty.

Although Samsung announces they will increase the sales volume of Bada phones to 10 million in next year, the number is very small compare to estimated Android phones by Samsung.(the input cost for developing and maintaining the Bada will be very high)

So the future of Bada is in darkness.

In case of Meego, there is one variable. Although Symbian official website will be closed in next week and the close relationship between Nokia and Symbian developers makes them move to Meego world smoothly. If they succeed it, the possibility of survival will be up close to MS.

 

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Written by Mike Kim

2010년 12월 15일 , 시간: 7:01 오전

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