Nokia Corporation
Stock exchange release
March 12, 2010 at 15.25 (CET +1)
Nokia updates mobile device market estimates for 2010 based on its
revised
definition of the industry mobile device market applied to its
reporting
beginning in 2010
Nokia filed Form 20-F for 2009 with the US Securities and
Exchange Commission
Espoo, Finland - Nokia filed its annual report on
Form 20-F for 2009 with the US
Securities and Exchange Commission today, and
revised its definition of the
industry mobile device market applicable to
its reporting beginning in 2010.
Nokia also updated its mobile device
market estimates for 2010 based on the
revised definition.
Beginning in 2010, Nokia is
revising its definition of the industry mobile
device market that it
uses to estimate industry volumes. This is due to improved
measurement
processes and tools that enable Nokia to have better visibility to
estimate
the number of mobile devices sold by certain new entrants in the global
mobile
device market. These include vendors of legitimate, as well as
unlicensed and counterfeit, products with manufacturing facilities primarily
centered around certain locations in Asia and other emerging markets.
For comparative purposes only going forward, applying the revised
definition and
improved measurement processes and tools that we are using
beginning in 2010
retrospectively to 2009, Nokia estimates that industry
mobile device volumes in
2009 would have been 1.26 billion units. Based on
the industry mobile device
market definition used in 2009, Nokia estimated
that industry mobile device
volumes were 1.14 billion units. Similarly,
for comparative purposes only going
forward, applying the revised definition
retrospectively to 2009, Nokia
estimates that its mobile device
volume market share would have been 34% in 2009
on an annual basis. Based on
the industry mobile device market definition used
in 2009, Nokia's volume
market share estimate was 38%. The respective quarterly
volume market shares
would have been 32% during the first quarter of 2009 (37%
based on the 2009
definition), 35% during the second quarter of 2009 (38% based
on the 2009
definition), 34% during the third quarter of 2009 (38% based on the
2009
definition) and 35% during the fourth quarter of 2009 (39% based on the
2009 definition). Nokia is not able to apply the revised definition and
improved
measurement processes and tools retrospectively to its estimated
industry mobile
device volumes or Nokia's estimated volume market share in
2008 due to lack of
visibility and data. Thus, the industry mobile device
volumes estimated for 2008
and Nokia's volume market share estimated for 2008
are not comparable with the
industry mobile device volumes estimates or
Nokia's volume market share
estimates based on the revised
definition.
Applying its revised
definition of the industry mobile device market applicable
beginning in 2010
on a comparable year-over-year basis,
- Nokia expects
industry mobile device volumes to be up approximately 10% in
2010, compared to
2009;
- Nokia targets its mobile device volume market share to be flat in
2010,
compared to 2009; and
- Nokia targets to increase its mobile device value market
share slightly in 2010, compared to 2009.
These expectations and targets are the same as announced by
Nokia on January 28,
2010 while now applying the revised market definition.
The Nokia annual report on Form 20-F for 2009 is
available in pdf format at
www.nokia.com/financials. Shareholders may
request a hard copy of the report
free of charge through Nokia's Internet
pages.
About Nokia
At Nokia, we are committed to
connecting people. We combine advanced
technology with
personalized services that enable people to stay close to what
matters to
them. Every day, more than 1.2 billion people connect to one another
with a
Nokia device - from mobile phones to advanced smartphones and
high-performance mobile computers. Today, Nokia is integrating its devices
with
innovative services through Ovi (www.ovi.com), including music, maps,
apps,
email and more. Nokia's NAVTEQ is a leader in comprehensive
digital mapping and
navigation services, while Nokia Siemens Networks provides
equipment, services
and solutions for communications networks globally.
FORWARD-LOOKING STATEMENTS
It should be noted that certain statements herein
which are not historical
facts are forward-looking statements, including,
without limitation, those
regarding: A) the timing of the deliveries of our
products and services and
their combinations; B) our ability to develop,
implement and commercialize new
technologies, products and services and their
combinations; C) expectations
regarding market developments and structural
changes; D) expectations and
targets regarding our industry volumes, market
share, prices, net sales and
margins of products and services and their
combinations; E) expectations and
targets regarding our operational priorities
and results of operations; F) the
outcome of pending and threatened
litigation; G) expectations regarding the
successful completion of
acquisitions or restructurings on a timely basis and
our ability to achieve
the financial and operational targets set in connection
with any such
acquisition or restructuring; and H) statements preceded by
“believe,”
“expect,” “anticipate,” “foresee,” “target,” “estimate,” “designed,”
“plans,”
“will” or similar expressions. These statements are based on
management's best
assumptions and beliefs in light of the information currently
available to it.
Because they involve risks and uncertainties, actual results
may differ
materially from the results that we currently expect. Factors that
could cause
these differences include, but are not limited to: 1) the
competitiveness and
quality of our portfolio of products and services and their
combinations; 2)
our ability to timely and successfully develop or otherwise
acquire the
appropriate technologies and commercialize them as new advanced
products and
services and their combinations, including our ability to attract
application
developers and content providers to develop applications and
provide content
for use in our devices; 3) our ability to effectively, timely
and profitably
adapt our business and operations to the requirements of the
converged mobile
device market and the services market; 4) the intensity of
competition in the
various markets where we do business and our ability to
maintain or improve
our market position or respond successfully to changes in
the competitive
environment; 5) the occurrence of any actual or even alleged
defects or other
quality, safety or security issues in our products and
services and their
combinations; 6) the development of the mobile and fixed
communications
industry and general economic conditions globally and
regionally; 7) our
ability to successfully manage costs; 8) exchange rate
fluctuations,
including, in particular, fluctuations between the euro, which is
our
reporting currency, and the US dollar, the Japanese yen and the Chinese
yuan,
as well as certain other currencies; 9) the success, financial condition
and
performance of our suppliers, collaboration partners and customers; 10)
our
ability to source sufficient amounts of fully functional
components,
sub-assemblies, software, applications and content without
interruption and at
acceptable prices and quality; 11) our success in
collaboration arrangements
with third parties relating to the development of
new technologies, products
and services, including applications and content;
12) our ability to manage
efficiently our manufacturing and logistics, as well
as to ensure the quality,
safety, security and timely delivery of our products
and services and their
combinations; 13) our ability to manage our inventory
and timely adapt our
supply to meet changing demands for our products; 14) our
ability to protect
the complex technologies, which we or others develop or
that we license, from
claims that we have infringed third parties'
intellectual property rights, as
well as our unrestricted use on commercially
acceptable terms of certain
technologies in our products and services and
their combinations; 15) our
ability to protect numerous Nokia, NAVTEQ and
Nokia Siemens Networks patented,
standardized or proprietary technologies from
third-party infringement or
actions to invalidate the intellectual property
rights of these technologies;
16) the impact of changes in government
policies, trade policies, laws or
regulations and economic or political
turmoil in countries where our assets are
located and we do business; 17) any
disruption to information technology
systems and networks that our operations
rely on; 18) our ability to retain,
motivate, develop and recruit
appropriately skilled employees; 19) unfavorable
outcome of litigations; 20)
allegations of possible health risks from
electromagnetic fields generated by
base stations and mobile devices and
lawsuits related to them, regardless of
merit; 21) our ability to achieve
targeted costs reductions and increase
profitability in Nokia Siemens Networks
and to effectively and timely execute
related restructuring measures; 22)
developments under large, multi-year
contracts or in relation to major
customers in the networks infrastructure and
related services business; 23) the
management of our customer financing
exposure, particularly in the networks
infrastructure and related services
business; 24) whether ongoing or any
additional governmental investigations
into alleged violations of law by some
former employees of Siemens AG
(“Siemens”) may involve and affect the
carrier-related assets and employees
transferred by Siemens to Nokia Siemens
Networks; 25) any impairment of Nokia
Siemens Networks customer relationships
resulting from ongoing or any
additional governmental investigations involving
the Siemens carrier-related
operations transferred to Nokia Siemens Networks;
as well as the risk factors
specified on pages 11-32 of Nokia's annual report
Form 20-F for the year ended
December 31, 2009 under Item 3D. “Risk Factors.”
Other unknown or
unpredictable factors or underlying assumptions subsequently
proving to be
incorrect could cause actual results to differ materially from
those in the
forward-looking statements. Nokia does not undertake any
obligation to
publicly update or revise forward-looking statements, whether as
a result of
new information, future events or otherwise, except to the extent
legally
required.
Media Enquiries:
Nokia
Communications
Tel. +358 7180 34900
Email: press.services@nokia.com
Investor Relations Europe
Tel. +358 7180 34927
Investor Relations US
Tel. +1 914 368 0555
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