Yahoo! and Nokia Comment

Net Imperative reports that the Yahoo! portal will come pre-installed on some of Nokia’s new phones – Series 60 high end smart phones.

Yahoo! Entertainment services will allow Nokia users to download ringtones, wallpapers and games.

I’m sure the seasoned thinkers of Nokia have thought this through, but what are the operators going to think? Currently, about 2/3 of all content goes through operator portals (depending on which market we’re talking about).

I don’t think they’ll just shrug and let it happen. In fact, the words I would least attribute to an operator are sentiments along the lines of “Hey! Great! Yahoo! bundled on phones. This is good news for the user as it introduces genuine choice into the marketplace. Let market forces decide – we’re totally confident in our product, pricing and overall loyalty of our customers. Bring it on.”

They’ll much more likely persuade Nokia to take it off, or take it off themselves before it gets to the user.

Having said that, users can obviously access Yahoo! themselves (unless they’re in a closed network, like 3). So they will have to face competition at some point, so this kind of reaction would seem a little short-sighted and a waste of energy all round.

I think that this is little more than an attempt by Nokia to wrest some power back from operators in the continual tug of war between handset manufacturers and operators.

I hope I’m wrong, but I don’t feel very hopeful for this deal. After the initial hype, will we ever hear of it again?

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