1. Innovation Policy challenge Nokia

2. EO.PPT /Innovation Policy Challenge 10.11.2010 Nokia’s Strong Investment in R&D Global network with R&D centers in 16 countries 35 869 people in R&D at the end of 2010 (~27% of employees) Collaboration with more than 100 universities globally 2006 figure is not comparable due to the formation of Nokia Siemens Networks R&D expenditure totaled EUR 5.9 billion in 2010 (13.8% of net sales)

3. EO.PPT /Innovation Policy Challenge 10.11.2010 with orchestration capability From traditional large enterprise to extended enterprise Innovation networks and ecosystems enable new ways of knowledge creation and utilization Core Partners Core Demand orchestration Innovation orchestration Architecture orchestration Supply orchestration Demand orchestration Architecture orchestration Supply orchestration Innovation orchestration Demand orchestration Architecture orchestration Supply orchestration Innovation orchestration Demand orchestration Architecture orchestration Supply orchestration Innovation orchestration Demand orchestration Architecture orchestration Supply orchestration Innovation orchestration Demand orchestration Architecture orchestration Supply orchestration Innovation orchestration Demand orchestration Architecture orchestration Supply orchestration Innovation orchestration Demand orchestration Architecture orchestration Supply orchestration Innovation orchestration Demand orchestration Architecture orchestration Supply orchestration Innovation orchestration

4. EO.PPT /Innovation Policy Challenge 10.11.2010 Inside the ecosystem Open innovation grows from people, working together on a mutually agreed topic that inspires them Nokia works with leading universities worldwide for collaboration that advances the concept of Internet and mobility Most work is done in an open environment A joint facility with MIT, Stanford, Tsinghua, Cambridge, HUT, TUT, EPFL and ETH Research collaboration agreements with universities including courses jointly taught by Stanford and Nokia Other collaboration agreements to follow

5. EO.PPT /Innovation Policy Challenge 10.11.2010 Innovation Policy Challenge Predictable environment R&D and education Good public/private partnerhip culture Entrepreneurship and commercialization Favourable market conditions Systemic approach 5 © NOKIA

6. EO.PPT /Innovation Policy Challenge 10.11.2010 Open Innovation/Knowledge Sharing Complementary competence and excellence Genuine commitment for knowledge sharing/trust Collaboration platforms/joint campus presence Mobility of research personnel R&D/recruitment/education all involved Transparent management and collaboration rules Fair rules for IPR ownership and use Reformed reward and incentive systems

7. EO.PPT /Innovation Policy Challenge 10.11.20107 © NOKIA Policy Challenge: Favorable Innovation Environment FIRM Appropriate R&D funding arrangements Access to top-level research Access to high quality experts and labour; mobility; respect for diversity Favourable regulatory environment; harmonized rules; IPR provisions; company statutes; taxation, etc Rich fabric of private partners; enabling vertical and horizontal integration Efficient VC Markets, sufficient provision of funding Efficient Internal market conditions; cost efficiency

8. EO.PPT /Innovation Policy Challenge 10.11.2010 Systemic Approach Innovation Policies are an essential part of governments' strategies to attain macroeconomic stability, economic renewal and full employment Innovation Policy is a horizontal policy which needs to be coordinated with a number of other policies (e.g. economic, industrial, education, regional policy) Innovation Policy should cover the whole system from knowledge generation through diffusion to knowledge utilization and commercialization (Innovation system) Networking is an essential part of modern Innovation Policy New structures and competencies are needed to facilitate effective Innovation Policy Innovation system is as weak as its weakest link

9. Four Nokia Research Focus Areas Sensing & Data Intelligence Irresistible experiences meeting consumer needs. New User Interface Joyful and intuitive mobile interactions. High Performance Mobile Platforms Delivering on the promise of mobile convergence. Cognitive Radio Liberating spectrum to enable new opportunities. 9 To Bridge the Now to the Next Sensing & Data Intelligence New User Interface High Performance Mobile Platforms Cognitive Radio

10. EO.PPT /Innovation Policy Challenge 10.11.2010 with educated mind set with networking skills with problem solving skills with global view, cultural understanding with tolerance for uncertainty who have courage to look beyond their own comfort zone who are open for different views with open mind and flexibility for the change with passion to work with language skills People need to think beyond the routine, and need to have the ability not just to adapt to change, but to help create it Innovation Calls for People

11. EO.PPT /Innovation Policy Challenge 10.11.2010 European R&D cooperation architecture Eureka EU R&D Framework Programme EMBL Cern ESA Cost ERA, OMC National Programmes and Institutions EIT JTIs

12. Thank You