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Capital Markets Day 2008 Olli-Pekka Kallasvuo President and CEO

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Page 1: Capital Markets Day 200812 Nokia Maps 2.0 Services & Software launches Share on Ovi Files on Ovi Ovi.com sync Nokia Ovi Suite N-Gage Jan/08 Feb/08 Mar/08 Apr/08 May/08 Jun/08 Jul/08

Capital Markets Day 2008

Olli-Pekka KallasvuoPresident and CEO

Page 2: Capital Markets Day 200812 Nokia Maps 2.0 Services & Software launches Share on Ovi Files on Ovi Ovi.com sync Nokia Ovi Suite N-Gage Jan/08 Feb/08 Mar/08 Apr/08 May/08 Jun/08 Jul/08

1) Nokia’s competitive advantages

2) Business review for 2008

3) Focus areas for 2009

Agenda

© 2008 Nokia Capital Markets Day 20082

Page 3: Capital Markets Day 200812 Nokia Maps 2.0 Services & Software launches Share on Ovi Files on Ovi Ovi.com sync Nokia Ovi Suite N-Gage Jan/08 Feb/08 Mar/08 Apr/08 May/08 Jun/08 Jul/08

3

Nokia competitive advantages – more relevant inthis environment

Source: Interbrand

1

2

3

4

7

8

9

10

65

Scale: 39% market share YTD Q3 2008

Ability to invest in innovation: Services & Software

Brand: #5 worldwide, #1 in Asia and #1 Europe

Manufacturing and logistics: World leading position

Distribution: Substantial lead in China, India, and MEA

Cost & IPR: Significant competitive advantage

© 2008 Nokia Capital Markets Day 2008

Page 4: Capital Markets Day 200812 Nokia Maps 2.0 Services & Software launches Share on Ovi Files on Ovi Ovi.com sync Nokia Ovi Suite N-Gage Jan/08 Feb/08 Mar/08 Apr/08 May/08 Jun/08 Jul/08

2008 Events

Nokia Siemens Networks

Services & Software

Smartphones

Device PortfolioSTATUSSUBJECT

NAME

DATE 2008Nokia 2008Business review

© 2008 Nokia Capital Markets Day 20084

Page 5: Capital Markets Day 200812 Nokia Maps 2.0 Services & Software launches Share on Ovi Files on Ovi Ovi.com sync Nokia Ovi Suite N-Gage Jan/08 Feb/08 Mar/08 Apr/08 May/08 Jun/08 Jul/08

The device business: profits

Mobile device operatingprofit share (Q1-Q3 2008)

39% 61%

Source: Nokia estimates and companyreports of Samsung, Motorola, SonyEricsson, LG, RIM and Apple

Winner takes the most

NokiaOthers

© 2008 Nokia Capital Markets Day 20085

Page 6: Capital Markets Day 200812 Nokia Maps 2.0 Services & Software launches Share on Ovi Files on Ovi Ovi.com sync Nokia Ovi Suite N-Gage Jan/08 Feb/08 Mar/08 Apr/08 May/08 Jun/08 Jul/08

Source: IDC – Estimates for 2008Sept. 2008 (USD-Euro exchange rate=0.773)

Portable Music &Media Players

Still & VideoDigital Cameras

Portable GPSDevices

The device business: value capture

Opportunities to capture value from other industries

€27Bn

€33Bn

€8Bn

© 2008 Nokia Capital Markets Day 20086

Page 7: Capital Markets Day 200812 Nokia Maps 2.0 Services & Software launches Share on Ovi Files on Ovi Ovi.com sync Nokia Ovi Suite N-Gage Jan/08 Feb/08 Mar/08 Apr/08 May/08 Jun/08 Jul/08

Room for growth

100%

India

Bangladesh

Sub-Saharan Africa

China

Egypt

Pakistan

Indonesia

Iran806040200%

Source: Nokia estimates

penetration in large emerging markets

The device business: growth opportunities

© 2008 Nokia Capital Markets Day 20087

Page 8: Capital Markets Day 200812 Nokia Maps 2.0 Services & Software launches Share on Ovi Files on Ovi Ovi.com sync Nokia Ovi Suite N-Gage Jan/08 Feb/08 Mar/08 Apr/08 May/08 Jun/08 Jul/08

The only global portfolio

Essential StyleBusiness Media / Internet

Rational Aspirational

Pricesegments

(EUR)

LivePremium

Connect Live

Entry

Explore

50

100

150

200

500

Achieve

Nokia 1200

© 2008 Nokia Capital Markets Day 20088

Page 9: Capital Markets Day 200812 Nokia Maps 2.0 Services & Software launches Share on Ovi Files on Ovi Ovi.com sync Nokia Ovi Suite N-Gage Jan/08 Feb/08 Mar/08 Apr/08 May/08 Jun/08 Jul/08

2008 Events

Nokia Siemens Networks

Services & Software

Smartphones

Device Portfolio

STATUSSUBJECT

NAME

DATE 2008Nokia 2008Business review

WIP

© 2008 Nokia Capital Markets Day 20089

Page 10: Capital Markets Day 200812 Nokia Maps 2.0 Services & Software launches Share on Ovi Files on Ovi Ovi.com sync Nokia Ovi Suite N-Gage Jan/08 Feb/08 Mar/08 Apr/08 May/08 Jun/08 Jul/08

Smartphones for the fourth quarter

Nokia N96

Nokia E71

Nokia5800 XpressMusic Nokia N85

Nokia E63

WIP

© 2008 Nokia Capital Markets Day 200810

Page 11: Capital Markets Day 200812 Nokia Maps 2.0 Services & Software launches Share on Ovi Files on Ovi Ovi.com sync Nokia Ovi Suite N-Gage Jan/08 Feb/08 Mar/08 Apr/08 May/08 Jun/08 Jul/08

2008 Events

Nokia Siemens Networks

Services & Software

Smartphones

Device Portfolio

STATUSSUBJECT

NAME

DATE 2008Nokia 2008Business review

WIP

WIP

© 2008 Nokia Capital Markets Day 200811

Page 12: Capital Markets Day 200812 Nokia Maps 2.0 Services & Software launches Share on Ovi Files on Ovi Ovi.com sync Nokia Ovi Suite N-Gage Jan/08 Feb/08 Mar/08 Apr/08 May/08 Jun/08 Jul/08

12

Nokia Maps2.0

Services & Software launches

Share on Ovi

Files on Ovi

Ovi.com sync

Nokia OviSuite

N-Gage

Jan/08 Feb/08 Mar/08 Apr/08 May/08 Jun/08 Jul/08 Aug/08 Sep/08 Oct/08

Nokia Comeswith Music

Nov/08 Dec/08

Maps 3.0,Maps on Ovi,

NokiaMessaging

11th NokiaMusic Store

Mail on Ovi

© 2008 Nokia Capital Markets Day 2008

WIP

Page 13: Capital Markets Day 200812 Nokia Maps 2.0 Services & Software launches Share on Ovi Files on Ovi Ovi.com sync Nokia Ovi Suite N-Gage Jan/08 Feb/08 Mar/08 Apr/08 May/08 Jun/08 Jul/08

2008 Events

Nokia Siemens Networks

Services & Software

Smartphones

Device Portfolio

STATUSSUBJECT

NAME

DATE 2008Nokia 2008Business review

WIP

WIP

© 2008 Nokia Capital Markets Day 200813

Page 14: Capital Markets Day 200812 Nokia Maps 2.0 Services & Software launches Share on Ovi Files on Ovi Ovi.com sync Nokia Ovi Suite N-Gage Jan/08 Feb/08 Mar/08 Apr/08 May/08 Jun/08 Jul/08

Nokia SiemensNetworks

© 2008 Nokia Capital Markets Day 200814

Page 15: Capital Markets Day 200812 Nokia Maps 2.0 Services & Software launches Share on Ovi Files on Ovi Ovi.com sync Nokia Ovi Suite N-Gage Jan/08 Feb/08 Mar/08 Apr/08 May/08 Jun/08 Jul/08

2008 Events

Nokia Siemens Networks

Services & Software

Smartphones

Device Portfolio

STATUSSUBJECT

NAME

DATE 2008Nokia 2008Business review

WIP

WIP

© 2008 Nokia Capital Markets Day 200815

Page 16: Capital Markets Day 200812 Nokia Maps 2.0 Services & Software launches Share on Ovi Files on Ovi Ovi.com sync Nokia Ovi Suite N-Gage Jan/08 Feb/08 Mar/08 Apr/08 May/08 Jun/08 Jul/08

Important 2008 milestones

© 2008 Nokia Capital Markets Day 200816

Page 17: Capital Markets Day 200812 Nokia Maps 2.0 Services & Software launches Share on Ovi Files on Ovi Ovi.com sync Nokia Ovi Suite N-Gage Jan/08 Feb/08 Mar/08 Apr/08 May/08 Jun/08 Jul/08

Important 2008 milestones

© 2008 Nokia Capital Markets Day 200817

Page 18: Capital Markets Day 200812 Nokia Maps 2.0 Services & Software launches Share on Ovi Files on Ovi Ovi.com sync Nokia Ovi Suite N-Gage Jan/08 Feb/08 Mar/08 Apr/08 May/08 Jun/08 Jul/08

© 2008 Nokia Capital Markets Day 200818

2008 Events

Nokia Siemens Networks

Services & Software

Smartphones

Device PortfolioSTATUSSUBJECT

NAME

DATE 2008Nokia 2008Business review

WIP

WIP

Page 19: Capital Markets Day 200812 Nokia Maps 2.0 Services & Software launches Share on Ovi Files on Ovi Ovi.com sync Nokia Ovi Suite N-Gage Jan/08 Feb/08 Mar/08 Apr/08 May/08 Jun/08 Jul/08

Cost base sized correctly

Growth opportunities

Services & Software

Email

UI and Software Platforms

2009 Focus Areas

© 2008 Nokia Capital Markets Day 200819

Page 20: Capital Markets Day 200812 Nokia Maps 2.0 Services & Software launches Share on Ovi Files on Ovi Ovi.com sync Nokia Ovi Suite N-Gage Jan/08 Feb/08 Mar/08 Apr/08 May/08 Jun/08 Jul/08

Cost base sized correctly

• Prioritization leads to specific costreductions in all areas

• We will execute our strategy, but atappropriate cost levels

2009Focus areas

© 2008 Nokia Capital Markets Day 200820

Page 21: Capital Markets Day 200812 Nokia Maps 2.0 Services & Software launches Share on Ovi Files on Ovi Ovi.com sync Nokia Ovi Suite N-Gage Jan/08 Feb/08 Mar/08 Apr/08 May/08 Jun/08 Jul/08

Growth opportunities

• Services & Software

• Take market share

• Capture value fromadjacent industries

• Nokia deviceenhancements

• NAVTEQ

2009Focus areas

© 2008 Nokia Capital Markets Day 200821

Page 22: Capital Markets Day 200812 Nokia Maps 2.0 Services & Software launches Share on Ovi Files on Ovi Ovi.com sync Nokia Ovi Suite N-Gage Jan/08 Feb/08 Mar/08 Apr/08 May/08 Jun/08 Jul/08
Page 23: Capital Markets Day 200812 Nokia Maps 2.0 Services & Software launches Share on Ovi Files on Ovi Ovi.com sync Nokia Ovi Suite N-Gage Jan/08 Feb/08 Mar/08 Apr/08 May/08 Jun/08 Jul/08

Simple and intuitiveMail on Ovi for Nokia

Series 40 DevicesNokia Life Tools

2009Focus areas

© 2008 Nokia Capital Markets Day 200823

Page 24: Capital Markets Day 200812 Nokia Maps 2.0 Services & Software launches Share on Ovi Files on Ovi Ovi.com sync Nokia Ovi Suite N-Gage Jan/08 Feb/08 Mar/08 Apr/08 May/08 Jun/08 Jul/08

Simple and intuitiveMail on Ovi for Nokia

Series 40 DevicesNokia Life Tools

2009Focus areas

© 2008 Nokia Capital Markets Day 200824

Page 25: Capital Markets Day 200812 Nokia Maps 2.0 Services & Software launches Share on Ovi Files on Ovi Ovi.com sync Nokia Ovi Suite N-Gage Jan/08 Feb/08 Mar/08 Apr/08 May/08 Jun/08 Jul/08

Simple and intuitiveMail on Ovi for Nokia

Series 40 DevicesNokia Life Tools

2009Focus areas

© 2008 Nokia Capital Markets Day 200825

Page 26: Capital Markets Day 200812 Nokia Maps 2.0 Services & Software launches Share on Ovi Files on Ovi Ovi.com sync Nokia Ovi Suite N-Gage Jan/08 Feb/08 Mar/08 Apr/08 May/08 Jun/08 Jul/08

2009Focus areas

© 2008 Nokia Capital Markets Day 200826

Page 27: Capital Markets Day 200812 Nokia Maps 2.0 Services & Software launches Share on Ovi Files on Ovi Ovi.com sync Nokia Ovi Suite N-Gage Jan/08 Feb/08 Mar/08 Apr/08 May/08 Jun/08 Jul/08

2009Focus areas

© 2008 Nokia Capital Markets Day 200827

Page 28: Capital Markets Day 200812 Nokia Maps 2.0 Services & Software launches Share on Ovi Files on Ovi Ovi.com sync Nokia Ovi Suite N-Gage Jan/08 Feb/08 Mar/08 Apr/08 May/08 Jun/08 Jul/08

Mobile Messaging for the Masses

Device Breadth, Global Reach

2009Focus areas

© 2008 Nokia Capital Markets Day 200828

Page 29: Capital Markets Day 200812 Nokia Maps 2.0 Services & Software launches Share on Ovi Files on Ovi Ovi.com sync Nokia Ovi Suite N-Gage Jan/08 Feb/08 Mar/08 Apr/08 May/08 Jun/08 Jul/08

Software and UI2009Focus areas

© 2008 Nokia Capital Markets Day 200829

Page 30: Capital Markets Day 200812 Nokia Maps 2.0 Services & Software launches Share on Ovi Files on Ovi Ovi.com sync Nokia Ovi Suite N-Gage Jan/08 Feb/08 Mar/08 Apr/08 May/08 Jun/08 Jul/08

Shaping the future

© 2008 Nokia Capital Markets Day 200830