Huawei is philosophically open to buying Nokia

by: Gary SimsJune 19, 2013

huawei logoWhile speaking with reporters prior to the UK debut of the Ascend P6, a top-level exec from Huawei mentioned that the Chinese handset manufacturer would be “open-minded” about buying Nokia. His exact comments were, “we are considering these sorts of acquisitions; maybe the combination has some synergies but depends on the willingness of Nokia. We are open-minded.

This resulted in a lot of speculation and even some movement in Nokia’s share price. However Huawei was quick to point out that the exec, Richard Yu, was speaking hypothetically and that the company had “no plans” to buy Nokia.

The comments, which although may have been less guarded than required of a top-level exec,  underline the company’s ambitions to take on Samsung and Apple at the high end of the smartphone market.

Yu also predicted that the number of major players in the smartphone market would reduce to just three or four. As for mobile operating systems, Huawei is a big Android proponent and Yu considers Windows Phone as “weak.”

[quote qtext=”Whether Windows Phone (will be) successful is difficult to say – it has a very small market share. (Windows Phones) are weak but still require a licence fee. That’s not good. Android is free.” qperson=”” qsource=”” qposition=”center”]

Huawei is in a good position to think about acquisitions since becoming the third-largest manufacturer of smartphones by volume. In fact Huawei is doing so well that the company expects to sell around 60 million smartphones this year and could have sold more if it wasn’t for a shortage of components!

Since Huawei is an Android supporter and Nokia has made a clear decision to focus on Windows Phone, it is unlikely that the two would be in talks about a possible merger or acquisition. Combined with Yu’s comments on Windows Phone being weak, it does truly seem that he was speaking hypothetically.

What do you think, would Huawei and Nokia make a good match?

  • Joachim Nilsson

    What about a merger (not acquisition) of Nokia and HTC? In my world that would make perfect sense.

    • Ivan Budiutama

      everything doesn’t make any sense when talking about Elop.

    • EvenInTheDarkestHour

      A “merger” is a soft pedaled acquisition.

  • Guest

    Huawei is the third biggest smartphone manufacturer in the world, so it would make perfect sense for them to acquire Nokia and gain some more market outside China

  • soaring eagle

    Nokia should not pair with Chinese device makers like Huawei as the latter is under the supervision of the Communist Party. Industries which are based on capitalism should not lay down their arms to communism or else the world will turn in to chaos.

    • Braddock Nhari

      Such comments show low levels of intellect. get your head out of the sand and face the real world!

  • Anirudh

    They can then spy closely on the new R&D centre by sammy in Finland… Go get Nokia.