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Nokia anticipates supply disruption

Posted: 24 Mar 2011 ?? ?Print Version ?Bookmark and Share

Keywords:cellphone supply? components shortage? Nokia?

Following the earthquake and tsunami that devastated northeast Japan on March 11, Nokia admitted that "some disruption" to its ability to provide certain products would be inevitable.

The company did not quantify or detail this in any way saying that the disruption will result from a "currently anticipated" industry-wide shortage of relevant components and raw materials sourced from Japan.

Nokia said it does not expect any impact on its 1Q11 financial results. The company added it would continue to monitor the situation and would provide more detailed information on or before April 21, when it will announce its next quarterly results.

"First and foremost, our thoughts are with those affected by the earthquake in Japan. We are working hard to support our employees, their families, as well as disaster relief efforts through the Japanese Red Cross," said Niklas Savander, executive vice president for markets at Nokia, in a statement. "We are in constant dialog with our suppliers and with their extended supply chain in the region. Nokia's supply chain management system is designed to mitigate operational disruptions by using alternative sources for components and production processes. In an effort to minimize the impact, Nokia will continue working with suppliers inside and outside of Japan."

- Peter Clarke
??EE Times
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