Tässä jatkoa Mustathmirin laittamaan Jerry-kommenttiin. Näyttää siltä, että Samsung on tulossa isosti 5G-markkinoille. Toki 5G-markkinat ovat valtavat tällä vuosikymmenellä, mutta Nokian on tosiaan saatava tekemisensä kuntoon pärjätäkseen tulevaisuudessa.
Jerry last month
$NOK conversation
THE EYE OF THE TIGER
The tiger is the national animal of South Korea and its top commercial corporation, by far, is Samsung. A massive international corporation with a market cap of $322 billion US and a profit of $53.6 billion US in 2018, a profit equal to the market cap of Nokia and Ericsson combined. Samsung intends to be a major competitor in the 5G arena.
Samsung isn’t a major player in the telecom equipment market right now. Its market share is only 3 percent compared to Huawei’s 28 percent, Ericsson’s 27 percent and Nokia’s 23 percent. However, Samsung’s network business president Kim Young-Ki said, “SAMSUNG WILL ACCOUNT FOR 20 PERCENT OF THE 5G EQUIPMENT MARKET BY 2022.” To gain that market share Samsung is concentrating on its home market, the U.S. and other markets where Huawei has been banned. That market share must come from somewhere and the most likely source is business that would have gone to Nokia and Ericsson.
SAMSUNG’S TIGER CLAWS ARE OUT
Kim Young-Ki’s comment is not an idle boast either. Samsung has been focusing on the next-generation telecommunications technology for the past few years to establish its footprint in the 5G market going forward and Samsung’s work on 5G speaks for itself.
Samsung and Verizon have collaborated for years to deploy an end-to-end commercial 5G service using Samsung network equipment and personal devices. Together, Samsung and Verizon have made huge gains in bringing 5G commercial services to consumers in several U.S. cities and as a result, launched the world’s first commercial 5G service last October when “5G Home” went live in Houston, Indianapolis, Los Angeles and Sacramento.
In South Korea, Samsung had the political pull and pricing power to have all of Nokia’s installs removed from South Korea’s first 5G network and replaced by Samsung equipment even though Samsung was not ready to deliver the equipment to replace Nokia’s installs.
In addition, in the U.S. Samsung has orders for 5G equipment in the bag already and is working on more. Major carrier AT&T (the mother of Nokia’s Bell Labs) will be sourcing 5G equipment from Samsung for their commercial networks and will provide the company with a good launchpad to expand its client base as the 5G wave reaches other markets, particularly emerging markets.
SAMSUNG IS “ALL IN”
Samsung’s website states in bold letters the company is “ALL IN ON 5G”. That means (in poker terms) all available assets of the company are on the table to back its 5G bet! Though Huawei has been banned in several significant markets where Nokia and Ericsson had hoped to ignite growth cycles for their companies, they now must face a competitor just as formidable. And, in markets where Huawei is not banned, they must face off against not one but two vastly larger competitors.
Because of Samsung’s recent win with Verizon, Nokia investors must now accept that in Nokia’s 5G market to come, margins will remain low, competition will remain high and Nokia’s struggles growth in the 5G arena will be as great or greater than it was for the company in 3G and 4G.
Vaikka varsinaisesti henkseleitä ei vielä pääse paukuttelemaan.
