Nokia lowers devices and services outlook for Q2, increasingly confident about first Windows Phone in Q4
Source: http://www.engadget.com/2011/05/31/nokia-lowers-devices-and-services-outlook-for-q2-increasingly/
You know what happens when you tell the world that you're abandoning Symbian for the Windows Phone ecosystem? Right, Symbian sales dry up. No matter how many times you boast about plans to sell an additional 150 million new Symbian devices, and no matter how long you commit to supporting Symbian devices, the OS is essentially dead to developers and consumers alike. So, we're not surprised to hear that Nokia just lowered its devices and services outlook for Q2 of 2011. The updated guidance calls for net sales from devices and services to be substantially below the EUR 6.1 billion to EUR 6.6 billion expected in Q2 due lower expected average selling prices on lower volumes. It also sees margins drifting below the expected range of 6 percent to 9 percent due to lower than expected net sales -- in fact, Nokia expects its non-IFRS operating margin to be "around breakeven." As as result, Nokia is pulling back its annual targets for 2011 and will provide further updates as its future becomes more clear.
On a positive note, Nokia does say that it has "increased confidence" that it will ship its first Windows Phone product in Q4 2011. Let's hope so.
Nokia lowers devices and services outlook for Q2, increasingly confident about first Windows Phone in Q4 originally appeared on Engadget on Tue, 31 May 2011 08:24:00 EDT. Please see our terms for use of feeds.
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