The Finnish mobile phone maker Benefon PLC and Microsoft Corporation announced 20 December 1999 that Microsoft Mobile Explorer browser will be licensed to Benefon’s new wireless communication products.
Microsoft’s browser allows both WAP and HTML based services first to be used in Benefon’s new WAP-phone, which will be introduced in the beginning of February. The news of the co-operation shot Benefon’s stock level up 30 per cent, although the company gave profit warning at the same time. Two days later the stock level had already gone up over 70 per cent. The investors seem to have long term belief for Benefon in spite of its current problems due to supply shortages.
Microsoft has been seeking a passage to its programs to enter the markets of wireless communication. A couple of weeks ago Microsoft announced a co-operation agreement with Ericsson to found a joint company to develop wireless internet solutions. In the same connection Ericsson became the first mobile phone company to use Microsoft’s WAP browser and now Benefon is following Ericssons footsteps.
For further information, please contact Pekka Lehtinen.
This article contains general information on the subject matter and shall not be relied upon for a specific case. Specialist advice should be sought with respect to any specific circumstances.
