Speaking in an interview on the Finnish YLE television channel that was broadcast in a documentary, titled Nokia – too large for Finland, Mr Ollila noted that while 40% of Nokia’s employees are based in Finland, sales in the country amount to a little over 1% of company sales. He said that such a situation is unbearable in the long run.
Chairman Ollila said that his company would give the government five years to consider the taxation situation before deciding if it will move its headquarters. That would place the decision about the same time that the 3G networks are expected to start picking up mass customers and when Nokia can expect an increase in infrastructure and handset sales to cope, adding pressure to keep the company in Finland.
Nokia’s announcement could spark a bidding war between the major financial centers in Europe as the deadline approaches. In terms of revenue and prestige Nokia is an extremely important asset for Finland and the legislators will do their utmost to keep the company on native soil.
