back to article Microsoft discovers long-lost phone division down back of sofa

Nokia phones generated $2.6bn in revenue for Microsoft as the division arrested its decline. Redmond sold 9.3m Lumia devices in the quarter, the most ever. In the quarter a year ago, Nokia (then the owner) shifted 8.8m Lumias. In June only 5.8m Lumias moved. The company had failed to refresh its product line as it, and other …

  1. etabeta

    Buy a phone with NOKIA written on it: maybe-----with M$ on it: NEVER!

    What fools to completely kill Nokia.

    1. Anonymous Coward
      Anonymous Coward

      RE: What fools to completely kill Nokia.

      You obviously don't understand branding.

      The foolish thing to do would be to invest more time and money promoting a brand they, by agreement, will be handing back the rights to. Switching ASAP makes absolute sense as they need to be building a brand they can own long-term (well, until they abandon the phone hardware market that it).

  2. Anonymous Coward
    Anonymous Coward

    But it shows Microsoft is still a significant global player in phone hardware

    How many of these were smartphones? How many were SOLD to consumers, and not just shipped from factories.

    Microsoft are devils when it comes to manipulating numbers to spin bad things into slightly less bad.

  3. Nate Amsden

    dropping Lumia too?

    the headline says Lumia, but the article says Nokia.

    Of course we knew MS had a limited time frame to use the Nokia name, though I don't recall seeing any restrictions on Lumia.

    Not that it matters to me, it is interesting if they brand it Microsoft given the extent they went to in the early days of trying to hide the Microsoft brand from Xbox.

  4. Anonymous Coward
    Anonymous Coward

    Sure drop the Nokia, but why add Microsoft? Make Lumia the brand on its own.

  5. Anonymous Coward
    Anonymous Coward

    They aren't "dropping" the name Nokia, they had only licenced the name for a limited period. It's not their name to use.

    Microsoft seems like a basket case just like HP are. They don't have the balls and nerve to keep going when something isn't going as well as expected. As soon as you exit a market you are behind in then it becomes extremely hard to re-enter it.

    Microsoft's management still needs a good shake up. The XBox One is terrible, all the limitations and restrictions imposed on users, not to mention the fact that the GPU in the PS4 is much much faster.

    1. NumptyScrub

      See story about phones, insert PS4 superiority post.

      Awesome work, A+++ would get trolled by again :)

    2. Roger B

      I don't usually wade into such an obvious fanboy baiting anonymous statement, but what limits and restrictions are on the Xbox One? Sounds to me someone is bitter that the Microsoft machine is getting the rather fine looking Sunset Overdrive next week and the Halo Master Chief collection next month, leaving you with Little Big Planet 3 and, if you are lucky an almost working version of Driveclub. I'll give you the GPU comment, but apart from that what exactly was the point of your comment except to get me all riled up?

      For clarification, I am still using my Xbox 360 and am not a current owner of any of the three current gen consoles.

  6. gerryg

    Don't own "Nokia" dropping "Lumia"

    Not sure I understand this. So Microsoft have sufficient confidence in the brand value of "Microsoft" phones - what has changed?

    If nothing has changed:

    - why did they buy the phone division in the first place?

    or

    - why are they dropping the brand value of Lumia?

    1. Anonymous Coward
      Anonymous Coward

      Re: Don't own "Nokia" dropping "Lumia"

      They bought the phone division because they could not easily replicate the Nokia construction, expertise and vast channel connections in time to hold their ground when Nokia dropped the business.

      It has nothing to do with confidence in the brand, and everything to do with ability to produce.

  7. Mage Silver badge

    This is third time?

    2nd was Sidekick / Danger thing they managed to mangle in months.

  8. Anonymous Coward
    Anonymous Coward

    Wishfull thinking

    To call 9.3m sales in a quarter a "significant global player" is more then a stretch.

    If it was any other company it would be called "Other" on the pie chart.

    Not judging the product but I would venture the maretplace has done that and it is not looking good.

    1. Anonymous Coward
      Anonymous Coward

      Re: Wishfull thinking

      I think you may be a little harsh there.

      Yes, it is a drop in the ocean compared to Android and in most (but no all) markets iOS but we are still talking over 70 million handsets sold in the last year. That's a fair sized market for developers to target. Just because other ecosystems are much bigger does not make it any less of an attractive market and thus a significant global player.

      It puts the markets of the consoles to shame, yet *they* are seen as global players. Sometimes it isn't about the relative size but the absolute size.

  9. Bad Beaver

    Shudder

    For some reason I doubt I would want to be seen with that. No the slightest clue why.

  10. John P

    No Microsoft, No. Don't for the love of <deity/> put your name on it. Lumia is a good brand and it would've served them well to keep using it and keep their name off of those devices.

    I say that as a very happy Lumia 1020 owner and Windows 8 user, but you'd have to be stupid to not be aware that Microsoft's name doesn't necessarily have the best reputation amongst consumers these days.

  11. Anonymous Coward
    Anonymous Coward

    Branding

    I have to say I'm both pleasantly relieved (and more than a little surprised) that they have dropped the 'Windows' portion of the name. At last they've realised that whilst Windows has brand recognition it is not well loved outside the Microsoft-wielding tech crowd.

    I'd say Microsoft as a brand still has a modicum of positiveness about it (especially compared to Windows) but Lumia is vastly better.

    It does make me wonder what other WP suppliers are going to call theirs, as they are no longer Windows Phones.

    1. Mage Silver badge

      Re: Branding

      Next year we will brand it Windows.

      Even probably the Xbox.

      Didn't you get the Memo?

  12. Nick De Plume

    Image is important

    Nokia is a household name, reminding reliability etc, but it also is a nostalgic one.

    It no longer is associated with cutting edge new-ness.

    So microsoft is gambling here. its brand is not really connected with phones the way apple is, but definitely rings the technology bell.

    think like an image maker advertiser, not like a techie geek.

    1. Tom Samplonius

      Re: Image is important

      "Nokia is a household name..." maybe on your side of the Atlantic, but Nokia hasn't ever had a significant market share in North America. A lot of the Symbian phones were never even sold in North America (which no doubt made their market share crisis in 2010 a lot worse).

  13. Anonymous Coward
    Anonymous Coward

    Amazon, now Microsoft...

    Amazon is writing off $170m on unsold inventory of its Fire Phone,

    Next in line will be Microsoft, writing down stock of unsold 'Nokia Lumia' Branded Phones...

    Microsoft has ditched the 'Nokia Lumia' Branding, in favour of 'Microsoft Lumia' Branding. Microsoft appear to have forgotton about Nokia already.

    Given Windows Phone 'WP - Work in Progress' is now in transition towards Windows 10, this is starting to feel like the disaster Microsoft had between their 'stepping stone' WP7 -> WP8 transition, where loyal WP7 users were left high and dry, with no support/upgrade path, in effect - it leaves a 6-9 month vacuum before the release of Windows 10.

    When you have a brand transition, from Nokia Lumia -> Microsoft Lumia, the product is always key.

    Microsoft really shouldn't have started changing their online brand presence (Nokia Lumia -> Microsoft Lumia) *before* they have a product available to purchase, with the new brand 'Microsoft Lumia' on the handsets.

    In the interim, all the existing 'Nokia Lumia' stock is now instantly recognisable as been 'past its sell by date', including the new Nokia Lumia 735.

    hence...

    Yet another Firesale (and write down of stock) of all Microsoft 'Nokia branded' devices, even the just launched 735.

    Customers have reason to be worried. In terms of support, whatever Micosoft say now, Microsoft have past precedence, they can't be trusted on future support. In 12+ months from now, looking back - the obvious cut-off point for support will be the Nokia->Microsoft Brand change.

    i.e.

    Microsoft Lumia 735 running Windows, gets support.

    Nokia Lumia 735 running Windows Phone doesn't.

    Bear in mind much support is also dependent on the carrier, who will also see the Brand Change, as an easy cut off point for 'Nokia Lumia' branded devices.

  14. Peter27x

    One step closer

    MS dropping the Nokia name is just one step closer to Nokia (the original Finish company) returning to making Phone s again [hopefully]!

    (Remember, selling it's mobile phone business generated a lot of cash for Nokia)

    p.s. not really connected, but the recent updates to Windows Phone have added several nice improvements, the little things that make it nicer to use.

    1. I ain't Spartacus Gold badge

      Re: One step closer

      Why would they do that? They've only just got out of that market. As fast as their little legs could carry them. And they were pretty keen to do so, given the board began the sale to Microsoft without asking their own CEO.

      Now they don't have any of the staff or infrastructure. So they'd virtually be starting from scratch. Only two companies are making reasonable profits from mobiles, Apple and Samsung.

      1. chr0m4t1c

        Re: One step closer

        Yeah, and Samsung's latest figures aren't terribly inspiring.

        Was it something like 90% drop in the last quarter's profits? That's going to sting a bit.

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