Here’s More Bad News For Nokia
Microsoft (NASDAQ:MSFT) and Nokia’s (NYSE:NOK) smartphone partnership has been anything but smooth sailing. Nokia CEO Stephen Elop recently disclosed to shareholders that carriers are hesitant to sell the Nokia Lumia phones because Microsoft owns Skype, which it purchased for 8.5 billion last year.
Skype poses a threat to mobile operations by offering popular Web-calling and text messaging services that can be used instead of traditional calling and texting, for which carriers charge customers. Microsoft has been accused of trying to shove Skype down the throats of carriers and operators, and they seem truly hostile toward Nokia regarding the matter. So far, all negotiation attempts appear to be futile.
Elop has admitted that a reseller problem relating explicitly to Skype does exist. Furthermore, his admission has revealed that the issue with Skype has resulted in some carriers refusing to carry the Lumia. No matter how the company tries to spin it, it seems Nokia’s comeback has backfired.
It is important to note that Lumia doesn’t come with Skype pre-installed, at least not yet. But the mere partnership between Nokia and Microsoft is enough to put carriers off. Microsoft will be pre-installing Skype in Windows Phone 8, which could create even more issues with carriers. According to mobile carriers, Microsoft can’t be operator friendly while simultaneously pushing Skype.
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