In recent filing with the SEC, Nokia specifically acknowledged the possibility that “Microsoft may broaden its strategy to sell other mobile devices under its own brand, including smartphones.” Such filings with the SEC are legally required to lay out legitimate business risks, so that investors can make informed decisions. Similar filings in the past did not list this risk, indicating that Nokia feels the chances of Microsoft making its own phones have increased.
The company may, in fact, have knowledge of such plans. At the very least, Nokia does not seem to have any assurances from Microsoft that they won’t offer their own phone. Nokia is dependent on Microsoft for its Windows Phone OS software that powers all of Nokia’s new smartphones. The filing explains that Microsoft-branded phones “could lead Microsoft to focus more on their own devices and less on mobile devices of other manufacturers that operate on the Windows Phone platform, including Nokia.”
