Sci Sim

OLLI-PEKKA KALLASVUO, Nokia CEO:

“Nokia continued to grow in the second quarter thanks to an excellent performance from our device businesses. Nokia’s share of the global device market improved to an estimated 38%, while operating margins in our device businesses were at their highest level in three years. Diluted EPS was up 39% year on year, excluding special items.

Nokia now has some major hit products across what is already the industry’s broadest product portfolio. I am particularly encouraged by the success of a number of recently launched higher end devices, which made a strong contribution to increased profitability.

Nokia Siemens Networks had a challenging quarter. Both net sales and margins were weak and these adverse developments require decisive action. Accordingly, Nokia and Nokia Siemens Networks are accelerating and increasing the new company’s annual cost synergies target. Nokia Siemens Networks must also ensure that the company is positioned for success and leadership in the fast changing infrastructure market.”

Second quarter 2007 highlights

• Nokia diluted EPS of EUR 0.32, excluding special items, growing 39% from Q2 2006
• Nokia operating cash flow of EUR 1.5 billion
• Nokia device volumes of 100.8 million units, up 11% sequentially and up 29% year on year
• Nokia estimated device market share of 38%, up from 36% in Q1 2007 and up from 34% in Q2 2006
• Nokia device ASP of EUR 90, up from EUR 89 in Q1 2007
• Mobile Phones, Multimedia and Enterprise Solutions gross and operating margins up significantly sequentially and year on year
• Enterprise Solutions reached profitability with 18.0% operating margin
• Excellent performance from new devices: Nokia 6300, Nokia N95 and Nokia E65
• Nokia Siemens Networks operating margin was -10.5%, excluding special items
• Nokia and Nokia Siemens Networks have accelerated their cost synergy target for Nokia
• Siemens Networks and now aim to achieve the approximate EUR 1.5 billion of annual cost synergies by the end of 2008 rather than by 2010
• Nokia and Nokia Siemens Networks are also targeting a further EUR 500 million of annual cost synergies

Q2 2007 Financial Highlights

(Comparisons are given to the second quarter 2006 results, unless otherwise indicated.)

As of April 1, 2007, Nokia results include those of Nokia Siemens Networks on a fully consolidated basis. Nokia Siemens Networks, a company jointly owned by Nokia and Siemens, is comprised of the former Nokia Networks and Siemens’ carrier-related operations for fixed and mobile networks. Accordingly, the results of Nokia Group and Nokia Siemens Networks for periods from April 1, 2007 are not directly comparable to any prior period results. Prior periods include the former Nokia Networks business group only.

Nokia’s second quarter 2007 net sales increased 28% to EUR 12.6 billion, compared with EUR 9.8 billion in the second quarter 2006. At constant currency, group net sales would have increased 32%.

Industry and Nokia outlook

• Nokia expects industry mobile device volumes in the third quarter 2007 to be slightly up sequentially
• We expect Nokia’s device market share in the third quarter 2007 to increase sequentially
• Nokia now expects industry mobile device volumes in 2007 to grow by 10% or more from the approximately 978 million units Nokia estimate for 2006. The previous estimate for the industry mobile device volume growth in 2007 was up to 10%
• Nokia continues to expect the device industry to experience value growth in 2007, but expects some decline in industry ASPs, primarily reflecting the increasing impact of the emerging markets and competitive factors in general
• Nokia continues to target an increase in its market share in mobile devices in 2007
• Nokia continues to expect very slight market growth for the mobile and fixed infrastructure and related services market in euro terms in 2007
• Nokia and Nokia Siemens Networks no longer target a double digit operating margin (excluding special items) for Nokia Siemens Networks by the end of the new company’s first year of operations
• Nokia and Nokia Siemens Networks now expect the new company’s operating margin (excluding special items) to improve in the second half of 2007
• Nokia Siemens Networks restructuring charges and other special items are expected to be significantly less during Q3 2007 and Q4 2007 than in Q2 2007
• Nokia and Nokia Siemens Networks have accelerated their cost synergy target for Nokia Siemens Networks and now aim to achieve the approximate EUR 1.5 billion of annual cost synergies by the end of 2008 rather than by 2010
• Nokia and Nokia Siemens Networks are also targeting a further EUR 500 million of annual cost synergies.

Nokia N800 Internet Tablet Skype

Skype is now available on the Nokia N800 Internet Tablet, bringing Skype conversations anywhere in the world where there is an available wireless internet connection (WiFi).

“Skype is the recognized leader in internet calling, with more than 196 million registered users worldwide. The Nokia N800 gives people easy access to the Internet and it’s a natural step that they will want to make Skype calls away from their desktop.” said Ari Virtanen, Vice President, Convergence Products, Nokia. “Consumers can now start enjoying the benefits of Skype on the Nokia N800 and experience a free and easy way to stay in touch with friends, family and business colleagues around the world.”

Skype for the Nokia N800 will be available for download for existing users. There will also be Skype download links on the latest release of Nokia N800 devices which will be available at retail and on the Skype online store. From coffee shops and public parks to offices to hotels or even on the beach - users will now be able to make Skype calls anywhere they can find a WiFi hotspot.

“Skype for the Nokia N800 is another important step in our mobility strategy,” said Eric Lagier, Skype’s head of business development for Mobile. “Our users are no longer just using Skype on their computer desktops. With the growth of mobile devices and WiFi, consumers expect to be connected wherever they are, at the office, at home or on the move. Making Skype available on such an innovative, portable device, lets us bring internet conversations to the mobile masses.”

Today, Skype is enjoyed by over 196 million people worldwide. Users download Skype software to make free voice and video calls and send instant messages over the Internet, between Skype users. Skype also offers paid-for services which let users make and forward calls to landlines and mobile phones at low per-minute rates. To enhance the Skype user experience, leading manufacturers such as Nokia have developed products that give users the additional flexibility to place and receive Skype calls wherever they are.

Here are the tech specifications of Nokia N76

Key features

• Store up to thousands of songs with expandable memory up to 2 GB
• Access your favorite internet sites and services with the Nokia browser with Mini Map
• Make video conference calls using the QVGA video camera
• Send and receive emails and instant messages
• Take snapshots using the 2-megapixel camera with up to 20x digital zoom

Operating frequency

• WCDMA 2100
• EGSM 850/900/1800/1900 MHz

Size

• Volume: 70 cc
• Weight: 115 g
• Dimensions: 106.5 x 52 x 13.7 mm

Display

• Main display: 2.4″ QVGA (240 x 320 pixels) TFT with up to 16 million colors
• Cover display: 1.36″ color display (160 x 128 pixels) TFT with up to 262,144 colors
• Ambient light detector to optimize operating times

User interface

• S60 3rd edition
• Symbian OS version 9.2
• Quick cover keys allow you to play music and snap pictures without opening your phone

Imaging

• Camera: 2-megapixel camera with up to 20x digital zoom and image resolution up to 1600 x 1200 pixels
• LED flash
• Video capture in QVGA resolution with the CIF+ (common intermediate format) camera and playback up to 15 fps with up to 4x digital zoom

Messaging

• MMS
• Send email with attachments (supports SMTP, IMAP4, POP3 protocols)
• Chat
• Picture messaging
• Video calling
• Push to talk

Multimedia

• Video streaming, downloading, editing, sharing, and storage
• Music player with equalizer and playlist feature (supports MP3, WAV, MIDI, AAC, eAAC, eAAC+, M4A, and WMA formats)
• RealPlayer media player
• FM Radio

Memory functions

• Up to 26 MB internal memory
• Expandable memory: microSD card up to 2 GB

Applications

• Mobile search

Connectivity

• Mini-USB with USB 2.0 full speed (up to 12Mbits/second)
• Bluetooth 2.0 wireless technology up to 3 Mbits/second
• Local and remote data synchronization of calendar, contacts, to-do lists, notes, Microsoft Outlook and Outlook Express, and Lotus using SyncML

Browsing

• Nokia browser with Mini Map

Data transfer

• WAP
• GPRS
• EDGE (EGPRS) class B, multi slot class 32
• WCDMA (3G)

Voice features

• Integrated handsfree speaker
• Voice recorder

Personal information management (PIM)

• Contacts, calendar, to-do list, notes, calculator, clock, and converter

Digital services

• Access your favorite internet services from your phone
• Find the information you need on-the-go with mobile search
• Use the Download! feature to personalize your phone

Other features

• Themes including wallpapers, screensavers, and ringing tones
• Download ringing tones and games

Sales package contents

• Nokia N76
• User guide
• Quick start guide
• Nokia AC-4 charger
• Nokia DKE-2 USB cable
• Memory card (Europe only, 256MB)
• Nokia HS-43 headset

PC Magazine has just published Nokia N76 review:

There’s no denying that Nokia’s slimmest, best-looking flip phone yet, the N76, is a powerful, unlocked smartphone. The terrible truth, though, is that this handset is dragged down by a string of design and software flaws. Its short battery life and lack of a fast wireless data connection are deeply disappointing.

Nokia’s heart and soul has always been centered on candy-bar and slider phones rather than the flip phones Americans tend to love. Even so, the N76 is an attractive example of the style favored in the States. It’s a broad, flat device (4.2 by 2 by 0.6 inches, at 4.1 ounces) that looks a lot like a Motorola RAZR, with a large 1.4-inch, 160- by 128-pixel LCD screen and music control buttons on the outside of the flip. Inside, there’s a big 2.4 inch, 320-by-240 color screen and a very flat metallic keypad with buttons trimmed by attractive blue text. Camera buttons on the outside of the phone let you snap photos with the flip closed, using the external screen as a viewfinder.

Read the full review at PCMag

Nokia N76 Cell Phone Review

Espoo, Finland - A total of 959 931 shares of Nokia Corporation (”Nokia”) were subscribed for between 5.6.2007 - 2.7.2007 based on Nokia’s 2001, 2003 and 2005 employee stock option plans. The total amount of subscription prices, EUR 13 693 901.23, is recorded in the fund for invested non-restricted equity. The new shares carry full shareholder rights as from the registration date July 6, 2007. The shares are admitted to public trading on the Helsinki Exchanges as of the same date together with the old Nokia share class (NOK1V).

After the registration, the total number of shares is 3 931 732 067 including the shares held by the company.

Panasonic, Amazon Team For Exclusive Phone Offers

Panasonic will offer a line of colorful 2.4Hz digital cordless phones and its VoIP-enabled Globarange series exclusively through Amazon.com , the company said earlier this month.

Three 2.4GHz models — the KX-TG3031, 3021 and 6021 — can be custom ordered in three color series. The “fresh” series will feature pearl blue, pink, yellow and violet; the “bold” series will offer green, orange, red and violet, and the “elegant” series will feature blue, copper, green and red.

The phones feature phonebook sharing, handset speakerphone, visual ringer, handset conferencing and a 50 entry phone book. The TG3031, for a suggested $59.95, also offers a 12-minute digital answering system.

The KX-TG3021 carries a suggested retail of $49.95 and the KX-TG6021 will retail for $59.95.

Panasonic’s Globarange models will also be sold through Amazon.com until October, after which time it will be open to all sales channels.

Panasonic’s Globarange models will also be sold through Amazon.com until October, after which time it will be open to all sales channels.

Amazon Panasonic Mobile Phones

Alcatel-Lucent today announced that industry analyst firm Dell’Oro has reported Alcatel-Lucent’s continued market leadership in DSL as well as IP DSLAM shipments at the end of the first quarter of 2007.

With a 26% cumulative market share the company leads the IP DSLAM market for the second consecutive quarter. For general DSL shipments, Alcatel-Lucent also confirms its leadership position with a cumulative market share of 41%, significantly more than double that of the second ranked competitor. In the first quarter of 2007, Alcatel-Lucent had shipped over 7.3 million DSL lines, resulting in a total of more than 133 million DSL lines shipped.

With more than 150 customers deploying its ISAM product portfolio, including 80% of the top 20 DSL operators in the world, Alcatel-Lucent continues to be the undisputed leader in the DSL market. Alcatel-Lucent brings its customers the strongest product portfolio in all access segments, substantial and ongoing investment in innovation and technology, business consultancy programs, and an unparalleled experience in supporting very large, complex end-to-end deployments in all regions worldwide.

Sony Ericsson today announced that it is establishing a research and development unit for mobile phones in Chennai, India. The move follows closely on the company’s January announcement of sourcing local manufacture of phones in Chennai with EMS partners Flextronics and Foxconn; with a production target of 10 million units by 2009. Today’s announcement is part of Sony Ericsson’s global strategy to strengthen its capabilities within the world’s fastest growing telecommunications market and generate the growth required to reach a top three position in the global handset market.

The Chennai research and development unit will be headed by Anders Grynge, who was previously based at the Sony Ericsson R&D centre in Sweden. The new facility will become part of Sony Ericsson’s global network of R&D units which currently comprises sites in China, Japan, Sweden, the Netherlands, the US and the UK.

LG.Philips LCD, LG Electronics, LG Innotek and LG Chem (collectively “LG”) today held an opening ceremony for its European LCD cluster in Wroclaw, Poland, the company’s third LCD cluster worldwide.

Approximately 500 people attended the complex’s opening ceremony, including LG executives, Polish government officials, journalists and citizens. El?bieta Dorota Wilczy?ska, Polish Deputy Minister of Economy; Wojciech Szel?gowski, Vice President of PAIiIZ (Poland Agencja Informacji i Inwestycji Zagranicznych S.A.); Rafal Dutkiewicz, Mayor of Wroclaw; and Ryszard Pacholik, Mayor of Kobierzyce Commune were the guests of honor. Also in attendance were Bon Moo Koo, Chairman & CEO of LG Corp.; Yong Nam, Vice Chairman & CEO of LG Electronics; Young Soo Kwon, President & CEO of LG.Philips LCD; James Kim, President of LG Electronics Europe and Simon Kang, CEO of LG Electronics Digital Display Company.

A total of 807 million euros is expected to be invested in this 1.5 million-square meter scale cluster until 2011, including 429 million euros from LG.Philips LCD, 103 million euros from LG Electronics, 58 million euros from LG Innotek, 40 million euros from LG Chem and 177 million euros from partner companies. Until now, these companies have created approximately 4,200 local jobs in total.

Alcatel-Lucent announced today that it has completed the deployment of a next-generation optical network for Dutch operator Esprit Telecom. Thanks to Alcatel-Lucent’s solution, Esprit Telecom is delivering new Ethernet-based and legacy voice services to businesses over a single platform, with dramatic increases in the capacity and flexibility of its existing infrastructure. This deployment enables Esprit Telecom to offer advanced virtual private network (VPNs) applications, while enhancing access to ISDN services.

In the Netherlands, Ethernet-based access networks are being deployed on a large scale in business parks and municipal areas to provide a single access point for all services. Supporting advanced Ethernet and fiber-to-the-user applications, the Alcatel-Lucent optical solution serves the over 5,000 small-to–medium business customers of Esprit Telecom. It also allows additional Esprit Telecom’s customers – be they fiber access providers or ISDN service providers – to access high-speed Internet, voice and data services with improved efficiency and reliability.

“This project represents a significant step in the competitive transformation of our network,” said Piet Grootenboer, Managing Director of Esprit Telecom. “Alcatel-Lucent’s expertise in optical networking and managed solutions allows us to offer innovative services with the highest quality to our business customers at a very competitive price.”

“Network transformation is a reality. With the deployment of our optical solution, Esprit Telecom is migrating its existing ISDN customers from TDM leased lines to more cost-effective, managed Ethernet-based services,” said Gertjan Bloks, Director Carrier Business of Alcatel-Lucent. “Our solutions help Esprit Telecom further enhance customer satisfaction, while minimizing its total cost of ownership.”

Alcatel-Lucent deployed its Metropolis multi-service, Ethernet-based optical platform allowing Esprit Telecom to offer emulated ISDN services over a next-generation optical network. Converging optical-data delivery over a single platform, the Alcatel-Lucent solution enables network simplification to accommodate business critical requirements with maximum flexibility and cost-effectiveness.