Nokia hopes to cash in on Samsung setback
Nokia’s shares leapt by 10 percent on Monday following Samsung’s defeat by Apple Inc.
HELSINKI - Shares in mobile phone firm Nokia leapt 10 percent on Monday on hopes it can benefit from a setback to rival Samsung, which has lost a high-profile court case to Apple that could lead to an injunction against some of its products.
A United States jury found South Korea's Samsung Electronics copied critical features of Apple's hugely popular iPhone and iPad and awarded the U.S. company $1.05 billion in damages.
"In addition to Apple, we name Microsoft and Nokia as the main beneficiaries from this outcome," said Nordea analyst Sami Sarkamies.
Shares in Nokia were 10.2 percent higher at 2.746 euros by 0835 GMT. Microsoft's European-listed shares were 1.6 percent higher.
Nokia and its software partner Microsoft have been struggling to win ground from Samsung's Android-powered smartphones which lead the market.
Google's Android is used in around 65 percent of smartphones sold globally, with Samsung the biggest maker of Android phones.
Nokia has been fighting for survival after losing vast ground to Apple and Samsung. In 2011 it forged a software alliance with Microsoft, which had also fallen behind in smartphone software.
Nokia is now the largest maker of Windows Phones, but the market share of the software has stayed at below 5 percent.
"We think that the real winner hear will be Microsoft and the Windows Phone ecosystem," Nomura analysts said in a note.
"As Android and Apple tear each other apart, Microsoft has been waiting in the wings and is in a very good position to move in and entice users to switch from Android to Microsoft, as we have already seen that user loyalty is low," they said.
Nokia is expected to launch its first smartphones using a new version of Windows Phone software at an industry event in early September.