Week in a Nutshell #14

Welcome to the fourteenth episode of the 'Week in a Nutshell’ series,

It was the first week after the Apple Watch pre-order launch. Tech news sites and blogs were full of Apple Watch related articles publishing mixed reviews.

Headlines:

  1. Apple Watch pre-orders were 1 million in the US on its first day, a shopping data firm estimates
  2. Nokia Agrees To Buy Alcatel-Lucent For $16.6B

Apple Watch pre-orders were 1 million in the US on its first day, a shopping data firm estimates

Slice Intelligence is a market research company that tracks and projects US consumer spending by extracting detailed information from hundreds of millions of aggregated and anonymized e-commerce email receipts. Honestly speaking, I don't know the accuracy of their analysis methods but Slice Intelligence claims that 957,000 people in the U.S. pre-ordered an Apple Watch on Friday April 10th, the first day the Apple Watch was available for sale. Slice Intelligence also states that each Apple Watch buyer ordered an average of 1.3 watches, spending $503.83 per watch. This means that approximately 1.2 million Apple Watches were pre-ordered on the pre-order launch date. 

I immediately searched for the iPhone 6 and iPhone 6 Plus pre-order performance statistics and found out that over 4 million iPhone 6 and iPhone 6 Plus were pre-ordered in the first 24 hours according to Apple press release.

There are several negative reviews about Apple Watch published in the tech blogs and new sites but the pre-order performance proves that Apple users really do want an Apple Watch. I'm looking forward to the Apple's earnings call where they will hopefully share the Apple Watch sales volume.


Nokia Agrees To Buy Alcatel-Lucent For $16.6B

After selling the mobile phone unit to Microsoft, it seems like Nokia is trying to strengthen its hand in the telecommunication technologies against Ericsson, Huawei and Samsung. Alcatel-Lucent acquisition is also a sign of it.

I've read several articles to understand Nokia's motive for this acquisition and I learnt that Alcatel-Lucent actually has intellectual properties and patent registrations around 5G network infrastructure technologies. Similar to Google's acquisition of Motorola, Alcatel-Lucent acquisition could be a patent driven acquisition decision for Nokia.

It is clear that Nokia is aiming to become a dominant player in the telecommunication technologies ecosystem. Alcatel-Lucent acquisition would bring Nokia the scale to compete head to head against Ericsson, Huawei and Samsung in the long run and also the competitive advantage over the 5G patents.


We came to the end of the fourteenth episode of ‘Week in a Nutshell’ series. If you enjoyed this post, I'd be happy if you could comment, share, like and/or recommend it. 

Thanks,
Birkan