NOKIA WITHDRAWS FROM FLAGSHIP RACE
The decision was difficult, but it makes the most sense for HMD Global.
HMD Global, home of Nokia phones, has decided to withdraw Nokia from the flagship race in the future for a while and in all markets.
As Adam Ferguson, Marketing Director for HMD Global's products, explained, the decision is strictly business in nature and not easy at all, but it makes the most sense for everyone in the company.
The Nokia 9 PureView was introduced in 2019 and was supposed to be the successor to the famous Nokia phone series with the best cameras on the market, but this never happened due to the extremely slow interface and numerous camera problems.
The next model never arrived, it was followed by numerous rumors about its arrival, and then delays, and in the end, it was abandoned while it was still in production.
Instead of the flagship category, which is extremely demanding and requires huge investments, HMD Global will focus on cheap and mid-range phones, whose number of deliveries has jumped in the last four quarters.
HMD Global is also successful in the production of ordinary phones, which sell almost 15 million per quarter.
Ordinary phones are becoming more and more popular in all countries and their sales are constantly growing despite the fact that they do not have smartphone options.
The decision to keep HMD Global in the lower market segment and later deal with flagship devices has been clear for some time, and the company's primary goal is to make users who get a good impression of Nokia phones in the cheap and mid-range segment want to wear it in the future, more expensive, perhaps the flagship phone of this company.
HMD Global has been around for just over five years and profitability reached Q3 2021, making the fourth quarter the most profitable in the company's short history.
The growth plans are based on conquering the US prepaid market, where Nokia phones are already sold, as well as separating Services from business from the phone and offering business users various services in the field of SIM management, roaming, and Internet of Things (IoT).
