This morning Nokia (NOK) issued a release that China Postel Mobile Communications Co, Ltd. would purchase mobile devices worth roughly $2.5 Billion (US Dollars) in 2007. This is the largest cell phone distributor in China and its market share was said to be over 30% in 2006. The companies have been working together since 1998 and China Postel has distributed more than 37 million from Nokia since that time.
Nokia’s market cap is $97 Billion in equivalent, but its dollar adjusted revenues appear to be some $54 Billion in 2006. Nokia has so far been successful in its fight against Qualcomm (QCOM) over CDMA royalties, and this fight is helping it further in being a lower-cost provider. China is an enormous opportunity and it is already one of the top consumer markets for items like this. But there is still price sensitivity for 90% of the country, and Nokia is that answer. Nokia might not be the only game in town but it shows that price and relationships can win the day. This would represent close to 5% of the company’s entire revenue for the year. If that isn’t proof that the Chinese market loves Nokia then what is?
Jon C. Ogg
May 11, 2007
Jon Ogg can be reached at [email protected]; he does not own securities in the companies he covers.
The Average American Has No Idea How Much Money You Can Make Today (Sponsor)
The last few years made people forget how much banks and CD’s can pay. Meanwhile, interest rates have spiked and many can afford to pay you much more, but most are keeping yields low and hoping you won’t notice.
But there is good news. To win qualified customers, some accounts are paying almost 10x the national average! That’s an incredible way to keep your money safe and earn more at the same time. Our top pick for high yield savings accounts includes other benefits as well. You can earn up to 3.80% with a Checking & Savings Account today Sign up and get up to $300 with direct deposit. No account fees. FDIC Insured.
Click here to see how much more you could be earning on your savings today. It takes just a few minutes to open an account to make your money work for you.
Our top pick for high yield savings accounts includes other benefits as well. You can earn up to 4.00% with a Checking & Savings Account from Sofi. Sign up and get up to $300 with direct deposit. No account fees. FDIC Insured.
Thank you for reading! Have some feedback for us?
Contact the 24/7 Wall St. editorial team.
Latest from 24/7
Our expert who first called NVIDIA in 2009 is predicting 2025 will see a historic AI breakthrough.
You can follow him investing $500,000 of his own money on our top AI stocks for free.