Nokia has been targeted by a shareholder, who is unhappy with the performance of Microsoft’s Windows Phone platform for the company and he has now fired off a lawsuit.
Investor Robert Chmielinski filed the class action suit in New York, claiming that the Finnish company made false and misleading claims about the prospect of Microsoft’s OS, reviving Nokia’s fortunes.
Chmielinski isn’t the only one who thinks that moving from Symbian to Windows Phone was a case of out of the burning platform, into the fire.
Lawyers representing the investor stated: “The complaint alleges that during the Class Period, defendants told investors that Nokia’s conversion to a Windows platform would halt its deteriorating position in the smartphone market. It did not.”
“This became apparent on April 11, 2012, when Nokia disclosed that its first quarter performance would be worse than expected. Nokia expected its first quarter 2012 non-IFRS Devices & Services operating margin to fall by 3 [per cent], and projected first quarter 2012 Devices & Services net sales of €4.2 billion.”
The suit also noted the Lumia 900 debacle in the States. This is where an Internet connection bug has blighted the handset’s launch, and forced Nokia to offer up a $100 bill credit, as a goodwill compensation gesture.
Nokia has responded to the legal action, saying: “Nokia is reviewing the allegations contained in the complaint and believes that they are without merit. Nokia will defend itself against the complaint.”
Source: InquirerLeave a comment on this article