The Top 10 mistakes Nokia made in 2008


As Nokia has a major strategy shift ongoing, there is hardly enough baseline published to confidently say that there was a mistake made. In this list therefore I avoid wishful thinking like 8 MP cameras, iPhone killers or “releasing less devices”, which might not serve Nokia’s strategy.

Here is my take on the top 10 mistakes – in no particular order -  Nokia made during 2008:

1. Releasing the N96 at all

How could releasing a new device with impressive feature list be a mistake, you say? If it’s a failship, as the N96 proved to be, actually hurting loyalty rates in the most cut-throat segment (smartphones), taking important resources from other N-Series releases, then Nokia would have been better off not releasing it.

2. Ignoring Download! completely

When Apple has announced the App Store, it was easy to dismiss the “innovation”. The Download! catalog is present on about 100 million Nokia devices and there are some good findings there. I’m not particulary fond of iFart (iPhone) apps, so I don’t mind a hand-selected crop of good apps – but I also don’t understand why Nokia has not increased the number of apps available through Download! during the half-year it had as advantage. It is also a question, why Nokia has not adopted its N-Gage game system to applications.

3. Waiting for Ovi to be ready

I’ve mentioned this before, but here it is again: there is no such thing as “being ready” in web services. You start with a core system (which IS Ovi Sync), gain userbase in the millions and announce the next version or next feature in 3 months to those millions. If Music, N-Gage and various services are not under the umbrella – no problem. They could be in one of the quarterly cycles.

4. Being half year late

During 2008 it was quite visible the Nokia is actually half-year late with everything: the N96, the 5800, Ovi Sync, N97, Comes with Music all arrived on average 6 month later than the usual product releases. N96 took 7 months delay, the Tube should have come before the iPhone in July (just check the Batman product placement), Ovi single sign-on was for September (still not working for Music or N-Gage), N97 and Comes with Music in main countries for Christmas. There is not much to say about this, except that 6 months is 2 web cycles or half of a major product cycle.

This might be changing quickly, as the N97 seems to be close to release – we might not need to wait until June 2009.

5. Incompatible Music Store, Files and Maps 3

Lets rush past supporting both Mac and Windows on the client-side, as it is indeed a matter of strategy and market share. My point here is that web services should be browser and platform independent, which nor Music Store, neither Maps 3 beta is. None of the successful web services (e.g Facebook, Google Maps, Amazon) require plug-ins in your browser to access the common functionality. You might have extra plug-ins for browsers to provide extras, but not for the main service – as the installation or incompatibility turns 50-75% of users away from the web.

6. Not innovating a new market out of thin air

Let’s be honest here: the smartphone market is being swiped out by new players like Apple, Google, RIM. Nokia might stick to its No. 1. position for the coming years, but without an extreme change in strategy, it will lose to experienced software companies. Following Nokia’s a-phone-for-every-segment strategy means that it will always lose segments to specialty players – which is fine. What’s not good however, is that Nokia for years now not opening new segments on its own, only following. After missing the clam-shell and slider craze, Nokia has also missed the touchscreen and mobile game craze. So, why not come out with something new and leave others to follow – as it happened during Nokia’s golden times?

7. Losing focus in marketing

Reading this list of mistakes, you might have the feeling, that Nokia is doomed. It is not. Just in 2008 it came out with huge innovations and it still maintains advantages, which nobody is able to replicate – but is still going mum about it. Where are the “This is how you copy and paste” ads, the clear “all you can eat music service for one year – and you keep all after” messages, the “buying music over the air” or “synchronization without cables” demos? Nokia’s marketing has to identify its strengths and also play on the weaknesses of its competitors.

8. The concept of many Nokia voices

Nokia repeatedly prouds itself as a company of many voices, concurrent and competing ideas. Unfortunately, the side-effect of this multi-voice approach is shouting in the face of consumers. The Nokia 5800 is released without Ovi support, the N96 is not able to run many Nokia developed betas, N-Gage is an afterthought on devices and best practices (technologies) are very slow to replicate to other parts of devices or software. And lets just mention the overlapping offering of Plazes-viNe-Friend View-Maps or Files-Share-Mosh-Download! to demonstrate the noise, which so many voices generate.

9. Quality, Attention to detail or Right at First time

One very disturbing detail about Nokia in 2008 was that it is still making the mistakes of 2007. It still releases the N96 with slow firmware and borderline battery capacity, Ovi Sync with Calendar backup not working and viNe as an incomplete alpha service. There is a very strong shift in the market, as some companies demonstrate that it is possible to get first releases close to perfection. As the economic downturn makes consumers taking less risk, it turns attention to quality also.

10. Ecosystem

I wanted to say, that Nokia is ignoring the ecosystem of its devices too much, but the recent news about the Philips cooperation and the N79 Active release shows that it is already changing. So, let’s not cry about the past, but see what was expected for 2008 – which is already happening now:

Conclusion

Comparing the two top 10 lists of important news and mistakes, I have to say, the outlook is much better than the mistakes made during 2008. While my view is currently limited by the missed opportunities in my newest phone – the 5800 -, getting something nice to say about Nokia’s future took considerable less time (about half), than finding enough mistakes for the top 10 list. From my side, I’ve spent enough time to recount the past and from now on will concentrate on a better future instead :-)

Nokia, this was your automated wake up call service.

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  • Kamen
    Cheers, dude! I totally agree!!! Though Nokia user, I do admit Nokia's fault on these points.
  • Hi!

    Another job well done, grat. The article is much better than the Nokia's last year.
    As an ex-nokia-worshiper, I still have the hope, Nokia came out with something in the future.

    Actually, I don't believe in the Symbian, sorry, and I really hate the DRM itself.

    Blaming the DRM for the browser incompatibility is ridiculous. I can't stand if my smartphone trying to tell me wich browser is good or bad. No way. DRM is the past, look at the Apple store or Emusic, prospering without DRM.
  • Snowy
    Loved it....Of course.
    Thx for the link back bro :D
    Heres another one for u....its just a post on the symbian-freak forum, no headline or anything yet, just what i built up so far on Nokia Music http://www.symbian-freak.com/forum/viewtopic.ph...
    Maybe you are familiar with most of its BS, but i did some digging around. Figured share it with you.

    By the way i was Nokia Beta Labs contributer of the month for December, and i do recall a certain Renegade was for the previous month. So ill be seeing over the Beta Lab Forum. You'll see my pic on the front page with a badge saying CoM, so make sure they add one for ya :D
  • it is A good work friend !, please see this two popular articles about Nokia N96 ,N96 poll both will tell the truth about the failure of Nokia N96

    please see the poll at : http://pspezone1.wordpress.com/2008/10/19/nokia...>

    http://pspezone.com/vblog/?p=1</a>
  • Matti, I fail to see what DRM has to do with browser type. Personally I think the music service should be browser-agnostic. So can you provide details to help me understand? Thanks.
  • Rsm
    Nokia should release an updated phone with xenon flash. Video recording with led lighting can't be that good. Also, instead of putting dual led's, you can put one led and one xenon flash.
  • I have to back RF up on this one. I don't see any reason for the N96. It didn't add enough to the N95 IMO.
  • @PissedOffN96Owner: sorry, if I have offended you with the "failship" word.
    I've not based my judgement on the Mhz of the processor - Nokia users know that it does not mean anything, the secret is in Symbian, which runs very well even on slower processors.
    Yet, the N96 has been released with a buggy and slow firmware and it took several updates to get it to a good state. During those 2 months, users were crying left and right about the N96 (and posting their shock online).

    Several betas were not available for the N96 - even if available for all FP2 devices (e.g. Maps 3), which shows that there is some fundamental flow in the N96 firmware.

    Ps.: this language gets a conversation from me only one time. Please stop it.
  • PissedOffN96Owner
    Why do narrowminded idiots like Renegade Bitch even think off writing such junk???
    First up - N96 is not a "failship" or slow. Not only does it look way better than any other Nseries smartphone, but it is really nice at doing things that don't require a lot of graphics processing such as everyday tasks.
    If you think that N96 "sucks" because of slower processor than N95, N82 and E90, than don't even think of waiting for another 6 - 12 months for N97.
    N96 is not capable of running betas and many apps???
    Well, these work on my phone and I am only going to write those used more often: Barcode, Enhanced Calculator for S60, Step Counter, Sports Tracker, Wellness Diary....ALL Python apps, T9 Nav, Fring, WidSets, SymTorrent, Screenshot etc.
  • Matti
    Overall very good post. Couple of things I disagree about.

    Music store only working with IE is good, and propably planned feature. There's really no point in supporting other browsers, as long as songs bought from Nokia shop come with MS DRM. Windows user can allways temporarily switch using IE. Adding support for other browsers would just get them very bad press from Linux/OSX users who couldn't play or backup songs on their computer (And yes, there would most certainly be enough tech-illerate people who would not understand the limitation). Of course having DRM is the real problem, but it's propably very hard to get record companies on board with that, seeing how much trouble even the market leader had in removing DRM from it's store.

    Maps 3.0 should be browser independent, but I'll get more worried about that if it is still IE only after it drops the beta status.
  • Mobile Observer
    The biggest mistake is that Nokia has just piggy-backed a touch layer to the same old crap S60 from 2001 with its d-pad/left-right softkey based UI and it's a mess. Single tap/double tap, tiny scroll bars to use with fingers(?), new buttons/menus inserted randomly etc. They should have started from scratch for a really finger optimized UI, most application must be updated to v5 anyways.
  • @Texrat: I think your list would contain one item 10-times, instead :-) Hope you are okay and maybe get your call soon, saying "Sorry, we made the biggest mistake!" :-)

    @Mark Guim: thanks for the words ;-) I have my big hopes for the N97 also.

    @Hardeep Singh: well, yes. Let's put it this way: lagging would be totally unacceptable for the N97.

    @Alsiladka: I did not detail it here, but linked to a post mentioning the Ovi support: http://www.renegadefanboy.com/2008/12/the-funni...
  • @Ravindra: thanks :-)

    @James: I'm still a fanboy of Nokia, but raising the important topics is still important. You could say, that we want Nokia "to win". It is also my belief, that Nokia listens more to its customers than other companies, so we should keep pointing out parts for improvement.

    On 2009 being the same as 2008 I actually disagree - but let's talk around N97 release time and see if I can keep my hopes up: http://thenokiablog.com/2009/01/12/5-reasons-no...

    @Nemoi: it's good news indeed! I have heard the rumour, that Ovi Share will go multilanguage in Q1, also. This is a good way to go for Nokia.
  • Alsiladka
    You forgot to mention that Ovi Sync did not support N85 or N79 till last week!
    Thats around 3 months since their launch!
  • Hardeep Singh
    N97 is already late and I hope it comes with a better processor than the current 369mhz freescale. It should atleast be equal to the one used by Samsung in INNOV8 with a separate GPU. Otherwise N97 would just be an N96 with Touch plastered onto it.
  • Good job with the post. Agree with all the 10 points. Hoping 2009 will be better for Nokia. Looking forward the N97 and hope not to be disappointed.
  • Great article. My personal take is they are screwing up in letting certain talent go. ; )
  • Nemoi
    They seemed to have tackled one point today, as ovi is now available in German and probably some other languages as well. Now I can finally recommend it to people like my parents who are not used to using English all the time.

    But in my opinion, the biggest mistake was not upgrading download into a proper application store. With all the available free and payware for Symbian, it would be an instant success and show many people, what s60 has to offer...
  • 'Failship'! Sad, but so very true...

    It's been a odd year for a Nokia fan. I know that many a Nokia blogger will chastise me for coming down too hard on the company, but honestly, I'm just calling it how it see it. If you want a first class phone then Nokia are still up there with the best of them, if you're looking for something more... *slow sigh*, it just isn't quite happening and I can't see 2009 being much better, even with the mighty 97.
  • Great round up dude,true the N96 is a winner in loosing.
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