Nokia as Extreme Corporate Corruption… a Puppet CEO from Microsoft

April 18, 2012 at 11:50 am | Posted in Decentralism, Operating Systems, Technology | 1 Comment

In 2008 I made this blog post about corporate corruption at Motorola and an incompetent CEO.  Since then, Motorola somewhat recovered by a partnership with Google and focus on Linux/Android.  Google still had to buy them out in the end.

Well now Nokia has a puppet CEO Stephen Elop, formerly from Microsoft, and as shown, still showing loyalty to Microsoft against his duty to his new employer.  There isn’t much to say beyond this very detailed analysis by award winning industry veteran writer and consultant Tomi Ahonen.  What did Elop do? 1. Burn all bridges with partners. 2. Destroy existing ecosystems long before dead or with something ready to replace them, 3. Fire all his best sales teams.  4. Throw Nokia’s fortune all under Microsoft’s platform which they couldn’t control, fix, or improve. 5. Replace experienced veteran employees with ex-Microsoft employees unfamiliar with a very detailed business.  6. Not allow sales of highly rated products in most markets so he could 7. promote Microsoft Windows Phones that didn’t yet exist and ended up being rated as inferior to the products he refused to sell.

Tomi’s article is too long and detailed unless you, like me, want to learn lessons on corporate corruption that places way too much power centrally in a CEO. That article is 4 months old and still applies without any counter-developments. Nokia is still sliding fast.  It will be interesting to watch what type of bottom it will reach in its slide.  I highly doubt it would be liquidated, the most extreme option.  Could Microsoft have to buy it and bail it out?  Could Elop face punishment for violation of fiduciary duty?

It would be a popcorn worth period if it wasn’t destroying jobs at a company that was on the verge of meaningful decentralized business progress with FOSS software like Qt and Meego products before hiring Elop for CEO.

Additional Tomi quote from a different post of his:

Elop Effect – A CEO’s statements that annouce that your products are obsolete now, and commit to producing several new products on the obsolete basis before replacements are to be made; all while calling your own products crap, even adding claims of imagined faults that your products do not have. That is the Elop Effect and it will destroy your company in less than a year, guaranteed.

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1 Comment »

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  1. Yes, it’s very clear that Nokia and MS agreement is fully illegal, in order to favor MS Windows Phone at the cost of Nokia.


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