Nokia is looking to new markets such as China to reverse the decline in overall revenue, according to a report from Reuters.
“Quarterly results on Thursday are also expected to show a turnaround at communications equipment venture Nokia Siemens Networks (NSN) , bolstering Nokia’s bottom line and supporting the shares’ recovery from last year’s record low,” Ritsuko Ando reports for Reuters
Nokia, once the top smartphone vendor by volume, has come under increasing pressure from Samsung and Apple. The Finnish-based company, currently leaded by former Microsoft executive Stephen Elop, has chosen to use Microsoft’s Windows Mobile operating system over the widely popular Android OS.
“Nokia is pinning its hopes on Lumia phones, which use Microsoft’s Windows software,” Ritsuko Ando writes. “Since signing a deal late last year to sell Lumias in China, it has launched cheaper versions of the smartphone to cater to a global market of price-conscious but tech-savvy consumers.”
“Its visibility is really poor, and of course there’s still a possibility that the Windows strategy will fail. We don’t know,” said Michael Schroder at Finnish investment group FIM (via Reuters).”But the base case assumption now is that volumes will gradually come up as the geographical coverage distribution gets wider and product portfolio moves towards lower price points.”
Source: Reuters
