Tough economic times, poor handset sales force Nokia to lower Q2 and 2010 forecast

Tough economic times, poor handset sales force Nokia to lower Q2 and 2010 forecast
Unable to mount a challenge at the high end of the smartphone market, Nokia said it is lowering its forecast of second quarter and full year earnings for Devices and Services. Besides not having a handset that can compete with the iPhone, Nokia now finds itself having to match up with the new wave of Android Superphones with huge screens and zippy processors. External events hurting performance include the weak world-wide economy and the drop in the Euro. Lower than expected average selling prices for phones and lower profit margins will result in revenue for the second quarter coming in at the low end of the previously forecast 6.7 billion to 7.2 billion Euro range ($8.26 billion US to $8.88 billion US). While the company sees 10% growth in the overall market this year, it expects its own sales to be flat with last year and with the previously mentioned competition in the high end of the market, Nokia sees sales focused on the mid to lower end of its product mix for Q2 and 2010. Second Quarter figures are due out July 22nd. The company has higher hopes for the third quarter when the Nokia N8 is scheduled to be launched with a 12MP camera, 720p video capture with xenon flash, and will be the first device to be powered by the Symbian^3 OS.

Nokia N8 Specifications

source: Nokia

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7 Comments

1. ilia1986 unregistered

Die die die!!! Another of my Nokia 5800 frustrations: I discovered an app which supposedly allows me to change the typing language of the phone in one click (on a pre-defined key). The program is called langmaster, and despite the fact that the description on the news site on which I discovered the app said that the app was free, on the Ovi store it costs 3 euros. Another link on the news site pointed to the online version of the Ovi strore (as seen fro the PC). There was a program which provided identical functionalitym but a name written in hebrew. After logging into my account on the Ovi sotre on the PC, I pushed "Send to mobile" to recieve an SMS message to my phone with the link to download it afterwards, but alas - No SMS ever came! And that is despite several sending requests I made. I verified the number registered there - it was the same one which appeared on the Ovi store on the 5800 itself. I tried searching the program there, but no results were found (and that is despite the fact that in the settings my country was listed as Israel. After that I just throwed my 5800 against my desk in frustration. God I hate this company. I'm not buying another Nokia product in my entire life. If only because of the above story.

2. thatdude1 unregistered

Dude, you have been complaining about Nokia since forever now. I told you before, if you don't like the handsets then why do you continue to use them?! Go with another handset maker already! You do nothing but waste your time with these posts. Save yourself the (self-inflicted, at this point) aggravation. You said you like android and the iphone, go get one of those handsets! Unless, of course, you are doing this for attention. I think it's the latter.

4. jpropin

Posts: 152; Member since: May 20, 2010

WORD! That Nokia Rant is getting as stale as an REO Speedwagon Concert I vehemately dislike Samsung Phones, but i'm not on here ranting against them on EVERY story that headlines "Samsung" I just won't buy another Samsung Phone......problem solved!

5. ilia1986 unregistered

You say this as if I can just go right now and buy another phone. As if I don't have 20 months to pay for this phone (out of it's 36 payments) and as if I won't have to spend another small fortune on an iphone and\or good android phone. Phones are not gloves. They are more like cars. You cant just diss the one you bought, and buy another one. They are expensive and they have payment contracts. So I'm stuck with this phone for quite some time now. And yes - Im going to rant about it. Its not to get attention, but actually to express my opinion. And since this place allows for discussions (which you know - are about expressing people's opinions) - I'm going to do just that.

6. jpropin

Posts: 152; Member since: May 20, 2010

Phones are not like cars. Next to a place to live, a car is the the most important material possession a person has. It's hard to survive in this modern world if you don't have a car. Having your own reliable transportation gives a person personal freedom. Most people can live pretty happy and productive lives without a cell phone or a non-smart cell phone. I know lots who do. They certainly can with a cell phone that has only 5,000 apps as opposed to 100,000 LOL Life is too short to stress about a lousy cell phone!

7. ilia1986 unregistered

Its not about the apps - its about the overall user exeprience - and the frustration it causes if it's not good enough. And I was comparing cars to phones not in terms of one's need for one - but in terms of one's inability to exchange one over another. But I guess you're right.

3. wade1968

Posts: 224; Member since: Apr 12, 2010

nokia stop blaming something else for slow sales and actually take the time to look at the phones you make and go wait maybe it is us.

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