Nokia, the Finland based handset maker, has reportedly launched its Nokia Money service across India enabling users to perform daily financial transactions via their mobile device. According to reports, a differentiating factor for this service is in its simplicity and convenience of use.

As per sources, users can avail Nokia’s Money service by simply registering with an authorized outlet and do not require the Know Your Customer (KYC) paperwork like in the case of most mobile money offerings. Further the service is available to all mobile users irrespective of the type of mobile used by them.

Reports also reveal that customers can perform the financial transactions via SMS and do not require an internet connection. With a large portion of the Indian population still unbanked, and the increasing penetration of mobile phones, Nokia’s new mobile money service is expected to take the m-payment industry by storm.

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Telecommunications firm, Nokia Siemens Networks, has reportedly announced 17,000 job cuts across the world in an attempt to narrow the gap with market leader Ericsson.

According to reports, the Finland based company has said that the reduction, equivalent to about 22 percent of its workforce, will be completed by the end of 2013, when Nokia Siemens aims to cut $1.3 billion in annual operating expenses and production costs. Further, Nokia Siemens will focus on mobile broadband and services and plans to divest or manage for value units that aren’t central to its focus.

As per sources, the company plans to simplify its organization, consolidate sites and functions, and strip out more jobs from the integration of Motorola Solutions Inc. units acquired this year. Further, Jozefa Terloo, spokeswoman, Nokia Siemens has said that they haven’t yet decided how many jobs will be cut per country. She reportedly added that negotiations with worker representatives will start immediately.

 

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Spanish telecom operator Telefonica has reportedly entered into a strategic partnership with China Unicom, wherein both operators will use each other’s networks to expand their coverage. According to reports, the deal will provide Telefonica access to China Unicom’s network in the regions of Hong Kong, Japan, Singapore, Australia, France and Sweden.

In return, China Unicom can reportedly increase its presence through Telefonica’s network in Argentina, Brazil, Chile, Colombia, Ecuador, Guatemala, Panama, Peru, Venezuela, Mexico, USA, Puerto Rico, Germany, Austria, Belgium, Bulgaria Denmark, Slovenia, Slovakia, Spain, Estonia, Finland, France, Greece, Hungary, Ireland, Italy, Latvia, Lithuania, Morocco, Norway, Poland, Portugal, Netherlands, Czech Republic, Romania, Sweden and Switzerland.

Reports suggest that Telefonica believes this agreement will help both operators expand their capabilities to provide telecom services to various customers in different geographic areas.

 

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According to reports, the Ministry of Transport and Communications in Finland has proposed to auction mobile communication frequencies in the 800 MHz spectrum band. As per reports, the auction is expected to be held by the end of 2013.

According to sources, the winning operators in the spectrum auction will need to construct their networks within three years from the start of the licence period. Further, reports suggest that the draft also proposes that the Ministry of Education and Culture be granted a one-off sum of US$ 7.5 million to compensate for expenses incurred to wireless microphone users from switching to alternative frequencies. Sources claim that the deadline for comments on the draft is 29 November whereas a public hearing on the resolution is expected to be held on 14 November.

 

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Nokia Siemens Networks, a global data networking and telecommunications equipment company headquartered in Espoo, Finland, is a joint venture between Nokia of Finland and Siemens of Germany. As per reports, Nokia and Siemens AG each plan to put up US$ 6.7 million towards their 50-50 joint venture.

However, sources claim that industry analysts believe that this plan to invest US$ 1.35 billion dollars in Nokia Siemens Networks would be negative for Nokia Oyj’s credit rating. Reports suggest that such an investment would reduce Nokia’s cash balances at the parent level, and since liquidity is a key factor for Nokia, it could lead to a negative rating.

 

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For the second quarter the current year, Nokia has witnessed financial loss. The handset maker posted a drop by 7 percent in its revenues. At the end of June 2011, Nokia had generated $13.16 billion for three months. That represents a drop of 7% as in comparison to last year revenue for the same period while a drop of 11% in comparison to the first quarter of the current year.

Nokia’s net loss stands at $522 million while the shareholders had earned $322 million the preceding year. In addition, the headline loss was $692.66.

A look into the second quarter 2011, suggests that distributors and operators had bought devices across Nokia’s portfolio in lesser numbers, in their attempt at emptying Nokia devices inventories.

The shipments of handset slumped from 111 million the previous year to 88.5 million, representing a drop of 20%.

The year-on-year decrease in Nokia Smart Devices volumes were attributed to the burgeoning surge in demand for competing smartphones and other devices across the European and Chinese markets in particular, in addition to the pricing tactics employed by a number of competitors.

On a different note, the operating results of Nokia Siemens Networks for the second quarter 2011 showed the inclusion of Motorola Solutions networks assets’ acquisition as on April 30, 2011. Understandably, the results of Nokia Siemens Networks for the second quarter 2011 are not directly comparable to its preceding results.

However, revenues have surged by 20% to post $5.16 billion.

Nokia Siemens Networks’ increase in year-on-year revenue from net sales in the second quarter 2011, has been attributed to the growth in the product and services businesses across most areas, in addition to contribution from the acquired Motorola networks assets. Had the acquired Motorola networks assets were left out, the increase in Nokia Siemens Networks’ net sales would have stood at 13% year-on-year.

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25th May 2011 was the deadline set by the European Parliament and the EU’s Council of Ministers for the member states of the European Commission for full implementation of the new EU telecoms rules as part of their national law. Twenty of the EU member states have been sent information requests as to why they have not yet reverted with regard to the stipulated implementation of the telecoms rules.

Under the EU infringement procedures, the information requests are equivalent to letters of formal notice.

Under the ambit of the new EU telecoms rules, phones, mobile services and internet are taken into account with regard to rights of the consumers and businesses. The highlights of these rights comprise of customers being empowered to switch telecoms operators in just one day without changing their phone number, more transparency regarding the services customers are offered, in addition to securing their personal data online.

So far only seven Member States namely Denmark, Estonia, Finland, Ireland, Malta, Sweden and the UK have confirmed the Commission of full implementation of the rules; a majority of the EU member states having notified the Commission of implementation to certain extents while the legislative processes are continuing.

Austria, Belgium, Bulgaria, Cyprus, Czech Republic, France, Germany, Greece, Hungary, Italy, Latvia, Lithuania, Luxembourg, The Netherlands, Poland, Portugal, Romania, Slovakia, Slovenia and Spain constitute the twenty other Member States that are yet to respond to the letters of formal notice within two months, failing which or even not being convincing, the Commission stands to issue the concerned Member States, a formal request to implement the legislation. The second request will be the form of a ‘reasoned opinion’ under EU infringement procedures. Eventually, the matter will be referred to the Court of Justice of the European Union.

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Nokia gears up for a $128 million advertising expenditure to promote the first launch of its Windows smartphones, scheduled for the later part of this year.

According to sources, the promotional campaign on a global scale is slated to kick off in the month of October, at the time when Nokia’s first Windows smartphones are expected to hit the market.

A statement issued by Nokia states that they are excited about the Nokia phone powered by Microsoft’s Windows.

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­With TeliaSonera’s joining the initial alliance inked by France Telecom-Orange and Deutsche Telekom with regard to Machine to Machine (M2M) services, it represents the expansion of the growing cooperation among operators.

France, Germany, Belgium, and Luxembourg were brought under their coverage when the seed agreement was ratified, the first time by France Telecom-Orange and Deutsche Telekom in February 2011. Ever since, the Netherlands and the UK were also covered under the purview of this alliance as result of more operators joining in.

Presently, the footprint of the M2M cooperation agreement will include TeliaSonera’s geographical reach as well, represented by Sweden, Norway, Finland, Denmark, Estonia and Lithuania.

Apparently, this multi-lateral alliance stands to enhance roaming services across countries where the stake holders operate, characterized by improved service quality as opposed to the initial services offered based on bi-lateral roaming agreements, concentrated within single markets.

The troubleshooting capability that the joined forces of France Telecom-Orange, Deutsche Telekom and TeliaSonera stand to muster is being seen as a key attribute of the agreement; expected to ensure quality roaming services to customers.

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FICORA is the telecoms regulator in Finland. It has acknowledged the receipt of a number of license applications with regard to testing mobile networks in the 800 MHz radio spectrum bands. This range of bands is currently seen being used by wireless microphones, primarily in theatres.

Earlier, FICORA had carried out tests in April 2011, so as to gauge potential interference posed by mobile networks on microphone use. The city of Lahti was chosen as the venue for the tests while they were carried out in collaboration with Nokia, Nokia Siemens Networks, Elisa, Lahti City Theatre and few other concomitants associated with radio microphones.

Based on those tests and experiments, FICORA had identified geographical demarcations by way of defining areas where it deemed it fit for testing the mobile networks, in view of the license applications.

The 791-801 MHz frequency band which is rarely used by radio microphones in the 800 MHz range has been identified for mobile network transmissions.

Going back to 2008, mobile services were allotted the frequency band 791-821 MHz/832-862 MHz, according to a government decree.

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