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Nokia Weighs In on Start-Ups, Global Markets
From Venture Capital Dispatch:

Nokia faces fierce competition from Apple’s iPhone and Google’s Android operating system, but the Finnish cellphone giant is competing through investing in start-ups and acquiring key technology, a company executive said Tuesday.

Mary McDowell, executive vice president and chief development officer at Nokia, spoke at the VentureWire Technology Showcase in Redwood City, Calif. Nokia Growth Partners, with $350 million under management, is actively investing, having recently invested in Zvents, a local-search company, and Nasdaq-listed KongZhong, a Chinese mobile-Internet company, she said. Nokia also recently invested $35 million in mobile payments company Obopay.

The firm is particularly interested in investing in start-ups innovating in payments and transactions, analytics and advertising, and gaming and virtual worlds, she said.

“We tend to look for companies that have success in the fixed Internet world and are moving to mobile, though we’re always interested in mobile ideas,” McDowell said. “Also those with traction in the U.S. who are looking to make a move to global markets. We can help facilitate that.”

In terms of acquisitions, she listed three types. The first was what she called “transformational” deals, such as the acquisition of mapping data company Navteq for $8.1 billion, which “fundamentally change the course of our business.”

“We do see location as something very critical to our future,” McDowell said.

Second are smaller deals that may not fundamentally change Nokia’s business but still have “core technology that further our ambitions,” she said, such as the 2007 acquisition of mobile-data-sharing company Avvenu, backed by Charles River Ventures and other investors, or the acquisition of mobile-ad company Enpocket, which was backed by firms such as BlueRun Ventures.

Finally, there are acquisitions that are more about the team and expertise of the company, such as angel-backed online travel service Dopplr Oy and venture-backed social network Plazes AG, she said.