Welcome!

@CloudExpo Authors: Elizabeth White, Liz McMillan, Pat Romanski, Nitin Donde, Astadia CloudGPS

Related Topics: Agile Computing

Agile Computing: Blog Feed Post

The Cloud, a Disruptive Technology? Just Ask Nokia!

Nokia just recorded its first quarterly loss in over a decade

It’s often said that the Cloud will be a game changer and disruptive and that statement is put out there for the future but I believe we have already seen a huge example of this in the mobile telecommunications domain.  We have seen in the last twelve months the beginning of a fundamental change in a users relationship with services because of the ability of real time delivery over mobile and fixed broadband. Apple single handedly changed the perception of, not only what dollar value a user would pay, but that they would actually pay at all. In the first 60 days Apple had 100 million downloads from their App Store.  Just think about this…60 days, 100 million downloads ! At the end of September 2009 the app downloads had topped a staggering 2 billion - Phenomenal ! Even more phenomenal is they ripped up the script of the established model and implemented their own.

We have quickly seen other providers such as RIM, and Google quickly adopt the same model, with Nokia lagging behind and then news filtering out that they would launch an App Store at the Mobile World Conference in Barcelona and when they did,  well lets just say that it was not exactly a success.  Microsoft, late to the party as always, are also jumped on the bandwagon with the launch of their “My Phone” service . Samsung have also now launched their own Mobile Applications MarketPlace. This shift has hugely changed the whole model of the Telco market. Nokia, the 100 pound gorilla, is losing market share hand over fist as it struggles to get to grips with this new model. Motorola has lost $3.6 billion as they too struggle to get to grips with this new consumer model.

Yesterday Mobile Crunch ran an article outlining Nokia’s first quarterly loss in over a decade. Nokia made a loss of $834 million and their shares dropped by 6.02 per cent. Apple however, in just over one year,  has become the eighth largest mobile phone vendor in the world (source: strategy analytics). This whilst only competing in the smartphone market and, at the time of the report, not selling into markets such as China. Overall during the past March quarter mobile phone sales fell 13% worldwide, the fastest rate of annual decline since record began, but in contrast sales rose 10% in the US, largely because of Apple. The top 5 handset vendors saw their market share fall from 83.5% to 78%, a decline that is predicted to continue as Android comes of age and Apple continues it’s dominance with low-end entry points into the consumer market.

The whole notion of how to sell to an individual has changed, it has become from the edge and back rather than the reverse i.e. it has proved that users are wiling to not only pay for real-time services and just-in-time applications, but will actually choose their handset provider based on the perceived value and breadth of those services. How many times have you read of a competitive phone review, “In some ways it is a better handset than the iPhone but it just cannot match the App Store for breadth of Applications”. Interestingly not everyone agrees. MobileCrunch also ran an article, “Not every Company needs an App Store“.  I believe they miss the point. The rules have changed and the humble phone has changed to become a platform to deliver services aided by on-demand cloud applications and services.  Apple’s advertising tells you “want to this, that or the other ? We have an app for that”. Well behind all those apps there are hundred if not thousands of individual developers supplying the “app for that”, and guess where the backend of many of these are hosted ? You’ve got it, on cloud services.

I agree that ideally we would be able to write against one platform for services delivered. Unfortunately the mobile phone OS market is very segmented with lots of players such as Symbian (Nokia), Microsoft, Google, iPhone etc. Having said that their are some initiatives to try and provide some abstraction to allow code / services written for one platform to run on others, such as PhoneGap, which supports iPhone, Android and Blackberry. Ultimately the Genie is out of the bottle and new mobile companies can see the carrot, that is new revenue and business models, which Apple has made reality. Ultimately the vendors will have no choice, with an Open Source OS model in Android squeezing them from one side, and Apple on the other, the landscape is being changed and the 100 pound gorilla is starting to look like an endangered species. Figures compiled by Gartner show that Apples Market share more than doubled in 2008, whilst Nokia’s Market share of the global smartphone Market fell from 47% in 2007 to 31% in 2008, and based on projections in the Gartner analysis, this would make Apple the leading global smartphone provider by 2011.

Syndicated from my original blog post on Cloudiquity

Read the original blog entry...

More Stories By Jim Liddle

Jim is CEO of Storage Made Easy. Jim is a regular blogger at SYS-CON.com since 2004, covering mobile, Grid, and Cloud Computing Topics.

Comments (0)

Share your thoughts on this story.

Add your comment
You must be signed in to add a comment. Sign-in | Register

In accordance with our Comment Policy, we encourage comments that are on topic, relevant and to-the-point. We will remove comments that include profanity, personal attacks, racial slurs, threats of violence, or other inappropriate material that violates our Terms and Conditions, and will block users who make repeated violations. We ask all readers to expect diversity of opinion and to treat one another with dignity and respect.


@CloudExpo Stories
"We've been engaging with a lot of customers including Panasonic, we've been involved with Cisco and now we're working with the U.S. government - the Department of Homeland Security," explained Peter Jung, Chief Product Officer at Pulzze Systems, in this SYS-CON.tv interview at @ThingsExpo, held June 6-8, 2017, at the Javits Center in New York City, NY.
"We're here to tell the world about our cloud-scale infrastructure that we have at Juniper combined with the world-class security that we put into the cloud," explained Lisa Guess, VP of Systems Engineering at Juniper Networks, in this SYS-CON.tv interview at 20th Cloud Expo, held June 6-8, 2017, at the Javits Center in New York City, NY.
"I will be talking about ChatOps and ChatOps as a way to solve some problems in the DevOps space," explained Himanshu Chhetri, CTO of Addteq, in this SYS-CON.tv interview at @DevOpsSummit at 20th Cloud Expo, held June 6-8, 2017, at the Javits Center in New York City, NY.
In his session at 20th Cloud Expo, Mike Johnston, an infrastructure engineer at Supergiant.io, discussed how to use Kubernetes to set up a SaaS infrastructure for your business. Mike Johnston is an infrastructure engineer at Supergiant.io with over 12 years of experience designing, deploying, and maintaining server and workstation infrastructure at all scales. He has experience with brick and mortar data centers as well as cloud providers like Digital Ocean, Amazon Web Services, and Rackspace. H...
"We are an IT services solution provider and we sell software to support those solutions. Our focus and key areas are around security, enterprise monitoring, and continuous delivery optimization," noted John Balsavage, President of A&I Solutions, in this SYS-CON.tv interview at 20th Cloud Expo, held June 6-8, 2017, at the Javits Center in New York City, NY.
What sort of WebRTC based applications can we expect to see over the next year and beyond? One way to predict development trends is to see what sorts of applications startups are building. In his session at @ThingsExpo, Arin Sime, founder of WebRTC.ventures, discussed the current and likely future trends in WebRTC application development based on real requests for custom applications from real customers, as well as other public sources of information.
Your homes and cars can be automated and self-serviced. Why can't your storage? From simply asking questions to analyze and troubleshoot your infrastructure, to provisioning storage with snapshots, recovery and replication, your wildest sci-fi dream has come true. In his session at @DevOpsSummit at 20th Cloud Expo, Dan Florea, Director of Product Management at Tintri, provided a ChatOps demo where you can talk to your storage and manage it from anywhere, through Slack and similar services with...
The financial services market is one of the most data-driven industries in the world, yet it’s bogged down by legacy CPU technologies that simply can’t keep up with the task of querying and visualizing billions of records. In his session at 20th Cloud Expo, Karthik Lalithraj, a Principal Solutions Architect at Kinetica, discussed how the advent of advanced in-database analytics on the GPU makes it possible to run sophisticated data science workloads on the same database that is housing the rich...
DevOps at Cloud Expo, taking place October 31 - November 2, 2017, at the Santa Clara Convention Center in Santa Clara, CA, is co-located with 21st Cloud Expo and will feature technical sessions from a rock star conference faculty and the leading industry players in the world. The widespread success of cloud computing is driving the DevOps revolution in enterprise IT. Now as never before, development teams must communicate and collaborate in a dynamic, 24/7/365 environment. There is no time to w...
SYS-CON Events announced today that Massive Networks will exhibit at SYS-CON's 21st International Cloud Expo®, which will take place on Oct 31 – Nov 2, 2017, at the Santa Clara Convention Center in Santa Clara, CA. Massive Networks mission is simple. To help your business operate seamlessly with fast, reliable, and secure internet and network solutions. Improve your customer's experience with outstanding connections to your cloud.
"We want to show that our solution is far less expensive with a much better total cost of ownership so we announced several key features. One is called geo-distributed erasure coding, another is support for KVM and we introduced a new capability called Multi-Part," explained Tim Desai, Senior Product Marketing Manager at Hitachi Data Systems, in this SYS-CON.tv interview at 20th Cloud Expo, held June 6-8, 2017, at the Javits Center in New York City, NY.
FinTechs use the cloud to operate at the speed and scale of digital financial activity, but are often hindered by the complexity of managing security and compliance in the cloud. In his session at 20th Cloud Expo, Sesh Murthy, co-founder and CTO of Cloud Raxak, showed how proactive and automated cloud security enables FinTechs to leverage the cloud to achieve their business goals. Through business-driven cloud security, FinTechs can speed time-to-market, diminish risk and costs, maintain continu...
There is a huge demand for responsive, real-time mobile and web experiences, but current architectural patterns do not easily accommodate applications that respond to events in real time. Common solutions using message queues or HTTP long-polling quickly lead to resiliency, scalability and development velocity challenges. In his session at 21st Cloud Expo, Ryland Degnan, a Senior Software Engineer on the Netflix Edge Platform team, will discuss how by leveraging a reactive stream-based protocol,...
DX World EXPO, LLC., a Lighthouse Point, Florida-based startup trade show producer and the creator of "DXWorldEXPO® - Digital Transformation Conference & Expo" has announced its executive management team. The team is headed by Levent Selamoglu, who has been named CEO. "Now is the time for a truly global DX event, to bring together the leading minds from the technology world in a conversation about Digital Transformation," he said in making the announcement.
Internet of @ThingsExpo, taking place October 31 - November 2, 2017, at the Santa Clara Convention Center in Santa Clara, CA, is co-located with 21st Cloud Expo and will feature technical sessions from a rock star conference faculty and the leading industry players in the world. The Internet of Things (IoT) is the most profound change in personal and enterprise IT since the creation of the Worldwide Web more than 20 years ago. All major researchers estimate there will be tens of billions devic...
"The Striim platform is a full end-to-end streaming integration and analytics platform that is middleware that covers a lot of different use cases," explained Steve Wilkes, Founder and CTO at Striim, in this SYS-CON.tv interview at 20th Cloud Expo, held June 6-8, 2017, at the Javits Center in New York City, NY.
Everything run by electricity will eventually be connected to the Internet. Get ahead of the Internet of Things revolution and join Akvelon expert and IoT industry leader, Sergey Grebnov, in his session at @ThingsExpo, for an educational dive into the world of managing your home, workplace and all the devices they contain with the power of machine-based AI and intelligent Bot services for a completely streamlined experience.
With tough new regulations coming to Europe on data privacy in May 2018, Calligo will explain why in reality the effect is global and transforms how you consider critical data. EU GDPR fundamentally rewrites the rules for cloud, Big Data and IoT. In his session at 21st Cloud Expo, Adam Ryan, Vice President and General Manager EMEA at Calligo, will examine the regulations and provide insight on how it affects technology, challenges the established rules and will usher in new levels of diligence...
SYS-CON Events announced today that Calligo, an innovative cloud service provider offering mid-sized companies the highest levels of data privacy and security, has been named "Bronze Sponsor" of SYS-CON's 21st International Cloud Expo ®, which will take place on Oct 31 - Nov 2, 2017, at the Santa Clara Convention Center in Santa Clara, CA. Calligo offers unparalleled application performance guarantees, commercial flexibility and a personalised support service from its globally located cloud plat...
SYS-CON Events announced today that Calligo has been named “Bronze Sponsor” of SYS-CON's 21st International Cloud Expo®, which will take place on Oct 31 – Nov 2, 2017, at the Santa Clara Convention Center in Santa Clara, CA. Calligo is an innovative cloud service provider offering mid-sized companies the highest levels of data privacy. Calligo offers unparalleled application performance guarantees, commercial flexibility and a personalized support service from its globally located cloud platfor...