Nokia has suggested that they will struggle financially next year as they increase investment in research and development initiatives.
Nokia has fallen behind Huawei and Ericsson in terms of 5G innovation. In order to catch up with these companies 5G technology they need to invest a lot of money.
Their new chief exec has split Nokia into four new focused business groups that will each be accountable for their own profit and loses. The four are: mobile networks, IP and fixed networks, cloud and network services and technology focused on patent portfolio. This move is too “shorten the distance between the customer and R&D” according to Pekka Lundmark, the chief exec of Nokia.
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