Nokia Aims High With Low-Priced Phone

Nokia launches a 15-euro phone to shore up its position in the basic handset market, where it's lost share. It's launching the handset at the Mobile World Congress in Barcelona.

Published

3 months ago

Categories

Technology

Topics

Consumer Electronics

People

Stephen Elop, Carolina Milanesi, Shao Yang

Companies

Samsung C&T, Apple Inc., Nokia Oyj, Huawei Technologies Co., Ltd., BlackBerry Limited

Transcript

Stick to what you know - that's Nokia's plan to get back on track. Its 15-euro phone is one of a slew of mobiles launched by the Finnish maker at the Mobile World Congress in Barcelona . The company's CEO says the new line will improve its position in the basic handsets market. (SOUNDBITE) (English) STEPHEN ELOP, NOKIA PRESIDENT AND CEO, SAYING: "With these new devices, Nokia plans to inspire more people at more prices and ultimately capture more volume as well as value in the market place." Nokia has taken a battering in recent years as it struggles to keep up with Apple and Samsung smartphones - they control over half the market. But Gartner's Carolina Milanesi says Nokia can claw its way back to the top. (SOUNDBITE) (English) ANALYST GARTNER CAROLINA MILANESI, SAYING: "I do think that Nokia has brand left in markets like western Europe. The products are quality products that speak for themselves. I think now the marketing needs to ramp up and Nokia needs to get sexy again in the eyes of the consumer." That focus on cheaper handsets and emerging markets was a big theme at the Congress. Another struggler BlackBerry has just launched its first smartphone for India - from its make-or-break BB10 range. It's hoping to compete with Apple - which has introduced payment plans in India to make its iphone 5 more affordable. It's got a tough task ahead - Apple and Samsung have first and second place in the smartphone market sewn up. It's the race for the third spot which is getting interesting (SOUNDBITE) (English) HUAWEI CMO: SHAO YANG, SAYING: "Our target is to be the top three in the next 5 years." That's the chief marketing officer of Huawei, the Chinese telecoms giant - virtually unknown as a phone brand in many parts of the world. Its Ascend P2 model is reportedly the fastest 4G smartphone on the market. Some say Huawei also has the resources to offer a top-of-the-range phone at a mid-market price. (SOUNDBITE) (English) ANALYST GARTNER CAROLINA MILANESI, SAYING: "The battle for the third place is still very open in 2013. You have Blackberry trying to come back in the market, you have Nokia ramping up their portfolio, you have Sony. So the names are there and as I said Huawei is another one definitely to be looked at." There's an air of austerity at the Congress this year - Spain certainly needs the cash it'll bring in. But there's no shortage of delegates - 74,000 are taking part and the new bigger venue outside Barcelona stretches over half a mile.