In 2010, however, failure to produce a rival to the iPhone resulted in the axe for Nokia CEO Olli-Pekka Kallasvuo.
At that time, Nokia still had 34% market share in mobile phones and 37% market share in smartphones, according to Gartner, and Nokia was outselling iPhones by 15 to 1 on units, but the iPhone was generating five times the profits of Nokia – $291 million to an estimated $1.6 billion in Q2 2010.
Kallasvuo,who became CEO in 2006 and faced with the iPhone launch in 2007, left with a hand-out of €4.6 million
Nokia’s new CEO, starting Sept 21st 2010, was Stephen Elop from Microsoft, previously with Juniper, Adobe and Macromedia.
“We believe that Stephen will be able to drive both innovation and efficient execution of the company strategy in order to deliver increased value to our shareholders,” said Nokia chairman, and former CEO, Joma Ollila.
It was not to be. In 2013, Microsoft bought Nokia’s mobile phone division for $7.2 billion. It replaced Nokia branding on phones with ‘Lumia’.
In 2016 Microsoft wrote off most of the $7.2 billion and sold Nokia mobile devices to HMD Global and Foxconn Technology for $350 million.