Based on what I've read, companies merge only for two things: first, if the one is weak enough that it needs the support of the other; second, both companies are bullies and they want to join forces to become a greater bully. So, who's weaker between Nokia and Siemens? Or did they just join arms to battle other phone companies like Motorola and Sony Ericsson?
As we all know, Nokia Corp. and Siemens AG recently announced their tie-up on a "twenty billion dollar" project merging their operation on the mobile and wireless industry. The Nokia Siemens is set to start its operation within this year to provide consumers a powerful alternative phone network that offers lower charges. Would this mean we'll get
new cellphone units from both of them? Both companies have an established reputation and position on the cellphone and computer industry. Not to mention that this two biggies have been dominating the market for years.
With two huge companies in a big-budgeted project, I don't think that other companies will stand a chance rivaling them, unless Motorola and Ericsson merge as well. Now, this means we'll get to see the clash of the
wireless providers, finally. The winner will get most of the consumers' support and money, of course.
