SlideshowNokia: Software Plan Already Boosting Profitability

Bhaskar Gets a Boost
Bhaskar Gorti, Nokia's president of applications and analytics, says the software strategy announced last November is already paying off.
Bhaskar Gorti, Nokia's president of applications and analytics, says the software strategy announced last November is already paying off.

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danielcawrey
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danielcawrey,
User Rank: Light Sabre
8/2/2017 | 12:58:39 PM
Re: Organic growth is what matters
I don't think Nokia's plan was a bad idea. 

Lots of companies are now focusing on software. There are still a lot of industrial and other infrastructure processes that could use software. Nokia's focus on this could save the company long-term. 
iainmorris
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iainmorris,
User Rank: Blogger
8/2/2017 | 3:28:59 AM
Re: Organic growth is what matters
'Tis a good point, so I've updated the story to provide a little more context there.
bosco_pcs
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bosco_pcs,
User Rank: Light Sabre
8/1/2017 | 4:49:38 PM
Re: Organic growth is what matters
Just my humble opinion: While indeed 2% is not earth shaking in the startup world, $NOK is a mature company trying to break into new markets. So maybe it is good enough if Comptel can carry its own and accretive. 

It took Blackberry $BBRY for a while to get its software going, considering that is not their core competency. And a heck better than behemeths like $IBM.

In conclusion, agreeing with you about the importance of organic growth but growth by acquisition is sometimes necessary. Its worthiness can only be validated from a longer term perspective depending on integration, synergy and future utilization
James_B_Crawshaw
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James_B_Crawshaw,
User Rank: Blogger
8/1/2017 | 4:32:02 PM
Organic growth is what matters
The organic growth of Application & Analytics was 2% when you strip out the contribution from Comptel (which wasn't in the prior year comparable figure). That's still impressive in comparison with Ericsson's 10% like-for-like decline in IT & Cloud. But not as impressive as 9% organic growth would have been. 
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