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Nokia To Ship 50 Percent Less Smartphones In 2010

Finnish manufacturer Nokia has announced that it will be shipping half the number of smartphones in 2010 compared to what it did this year, which doesn't come as a surprise to observers.

Nokia has already started to cut down costs by eliminating some R&D jobs in Japan for example. Perhaps the most telling reason why Nokia might want to slash the number of smartphones in its portfolio next year might have to do with the fact that the most successful smartphone manufacturer, Apple, essentially has one model for 12 months.

Jo Harlow, the new head of Nokia's smartphone unit, says that the company would be looking to reduce unnecessary differentiation and focus on a small number of crucial models. In comparison, Nokia launched 20 high-end handsets, roughly one every 18 days.

In addition, Nokia is likely to concentrate on the more lucrative application segment as well, a key revenue earner and differentiator where Apple is currently the market leader.

Nokia has had to deal with the emerging threat of Korean giants, Samsung and LG, while feeling the heat at the very top from Apple's iPhone and RIM's Blackberry signature phones. Its market share plunged from 41 percent to 35 percent over three months.

Our Comments

We were a bit puzzled by the launch of the N97, N97 mini and the N900, a Maemo based tablet that is in effect a variation of the N97. So in effect, rather than selling three smartphones, Nokia could have sold only one of them, the N900.

Related Links

Nokia to cut back on new smartphones in 2010 (opens in new tab)


Nokia to halve its smartphone portfolio in 2010 (opens in new tab)

(The Register)

Nokia halves its smartphone portfolio (opens in new tab)


Nokia Reducing Handsets in 2010 (opens in new tab)


Nokia to build 50% less premium phones in 2010 (opens in new tab)


Désiré has been musing and writing about technology during a career spanning four decades. He dabbled in website building and web hosting when DHTML and frames were en vogue and started writing about the impact of technology on society just before the start of the Y2K hysteria at the turn of the last millennium. Following an eight-year stint at where he discovered the joys of global tech-fests, Désiré now heads up TechRadar Pro. Previously he was a freelance technology journalist at Incisive Media, Breakthrough Publishing and Vnunet, and Business Magazine. He also launched and hosted the first Tech Radio Show on Radio Plus.