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Nokia to manufacture low-end WP handsets

Posted: , by Alex I.

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Nokia to manufacture low-end WP handsets
There are not many people who express doubt that the Nokia-Microsoft strategic alliance will cause a profound change in the smartphone industry, and new important details about this agreement are starting to emerge.

One of them, cited as a key prerequisite for Nokia to adopt Windows Phone as its primary smartphone strategy, is the Finnish giant to be allowed to target "a very low price point" for its handsets. Nokia CEO Stephen Elop says on the matter:

"We have become convinced that we can do that very quickly."

Moreover, it's said that Microsoft has agreed to allow chip makers other than Qualcomm to produce SoCs for its mobile OS.

Also, it's reported that Stephen Elop sold his Microsoft shares yesterday and has subsequently bought 150 000 Nokia ones. The value of the Finnish manufacturer's shares dropped more than 20% after the announcement of the Nokia-Microsoft deal, which will be officially concluded in "a couple of months, it may be a bit longer, it may be shorter", according to Elop.

source: Reuters

17 Comments
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posted on 18 Feb 2011, 10:04

1. Seylan (unregistered)


Oh no.
They should first focus on high-end smartphones to rival Apple and the rest, and then worry about cheap phones for the masses.

posted on 18 Feb 2011, 11:15

6. Crucial (unregistered)


Exactly! They really should focus on the high-end market first seeing how lucrative the market is. It will also serve to get back Nokia's image as a high-end mobile producer.

Low end market is a good alternative to attract developers and thus ensure high quality apps for WP 7. I can't wait to see what Nokia can bring to the mobile industry. Hopefully it will be able to revolutionize the mobile industry.

posted on 18 Feb 2011, 10:09 2

2. TKFox007 (Posts: 303; Member since: 02 Nov 2010)


The guy sold his Microsoft shares and bought Nokia ones, he'll probably buy more Nokia shares as the price of the stock goes down until he's the majority stock holder. Then he'll propose that they sell to Microsoft and since he has controlling shares when there's a vote it'll be his 51% to the other's 49%

This is all a plot for Mircosoft to acquire Nokia to make their Windows 7 phones.

posted on 18 Feb 2011, 10:34

3. Preetam (unregistered)


Yeah, if they get Win7 Phones to battle these puny Galaxy Gio and Galaxy 5 (such stupid devices, with dinosaur display resolutions), they it's a win in the mainstream segment

posted on 18 Feb 2011, 10:34 2

4. DJLegacy2k5 (Posts: 205; Member since: 28 Jan 2011)


Smart move on taking down a giant then lol

posted on 18 Feb 2011, 11:08

5. Roberto Lim (unregistered)


Since you won't be seeing the first Nokia Windows Phone 7 devices till October 2011, and not in substantial numbers by 2012, but that time 1GHz processors and 800x480 screens will be dime a dozen lover end devices.

posted on 19 Feb 2011, 19:13

11. Marc Aurel (unregistered)


Considering that smart phone low end right now is 400-600 MHz processor, HVGA screen and no GPU, 1 GHz with GPU and WVGA won't be anything close to low end in 2012. Mid tier perhaps, with unsubsidized price around $300-$400. The real low end is less than $200 unsubsidized and the current WP7 minimum hardware specs will not be there until 2013 at the earliers.

I would expect Nokia to produce low-end WP7 phones in 2012 aswith roughly the same hardware as the current Symbian^3 phones, that is 680 MHz processor, GPU and probably the 640x360 nHD screen Nokia likes to use, assuming it can be done without major changes to the OS

posted on 18 Feb 2011, 11:54 1

7. barfbag (unregistered)


Curious how Wp7 will will look a year after its initial release. Should be right up there with the other smart OSs and I dont think anyone could ever doubt, Nokias ability to design quality handsets.

2011 is a waste to even watch how this marriage will work, watching the grass grow might be more fun.

If they are putting WP7 in lower end handsets, this is an area where Nokia is its strongest in volume and market share. Emerging markets etc. This will get smart phones into a whole new audience and will be far more appealing than S40 which was clumsy and dated.

posted on 18 Feb 2011, 15:28

9. luis_lopez_351 (Posts: 951; Member since: 18 Nov 2010)


watching grass grow is fun thoe ;D x]

posted on 19 Feb 2011, 19:24

12. Marc Aurel (unregistered)


S40 is the Nokia feature phone OS and it's not going anywhere. In fact Elop is investing more on S40 development as part of the "Next Billion" strategy. Feature phones are loosing market share to smart phones, but it will be 2015 or later before most phones sold in the world are smart phones even after that there will still be a healthy market for feature phones for many years. oundia

posted on 18 Feb 2011, 11:57

8. bluechris (unregistered)


They need to hit the high end with a few impressive devices, but as they are replacing Symbian with this and many symbian devices are aimed at mid range to entry level for smartphopnes (think C series rather then N/E series devices), they need to do this as well as it's huge market segment in much of the world.

Nokia will undoubtedly release some very high end phones on Windows Phone, but knows the strategic importance of having a low priced offering as well.

posted on 18 Feb 2011, 20:30

10. downphoenix (Posts: 2235; Member since: 19 Jun 2010)


I didnt think Elop was a trojan horse at first, but after hearing this news, seems to be too much of a coincidence. Either way, its win win for him because if Nokia crashes and burns he benefits, and if they take off with this he benefits.

posted on 20 Feb 2011, 08:29

13. 21 (unregistered)


well, at least. it's windows 7 powered smartphone. the only thing is, it's cheap.

posted on 20 Feb 2011, 08:34

14. Joe (unregistered)


the good thing about Nokia. they know that phone aren't for higher class, still they need to target below levels which have a greater share on the market world.

posted on 13 Mar 2011, 23:26

15. LOL (unregistered)


its a stupid decision. these new n8 and e7 is a great device. i hve both of em. ive been using nokia since i was little. Elop will buried Nokia soon.

posted on 14 Mar 2011, 02:59

16. Amandeep (unregistered)


The trojan horse seems the right term to describe elop,nokia with symbian^3 was jst edgeing towards major improvement in symbian os but like a trojan horse elop entered nokia and now nokia is going in hands of microsoft wp7 jst waste no one other then nokia will adopt it and android will grow stronger with highest market share!

posted on 14 Mar 2011, 14:16

17. Amos2010 (unregistered)


Call me ignorant but I think is pointless to have low end smartphones... I don't think my mom who's 60 years old like many pensioners would be interested in buying one, if they barely know how to use standard cellphones... So whose intended for? Nokia only need to take care of the ones (costumers) it already have so they don't grow sick and tired and give away his love for Nokia.

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