Nokia Consolidating Its Position in the USB 3G Modems Market

External USB modems, also known as dongles, definitely represent a business worth getting into, granted you boast plenty of resources. So, the world's biggest mobile manufacturer has decided that it should release devices for such markets as well.

If we consider the fact that this market is a fast growing one that promises to become highly profitable, and if we also take into account that the only real competitor that Nokia might face is Huawei, the only question that remains to be answered is how come such a decision was not made earlier. In any case, this market was highly successful last year as well, when, for example, dongles sales were over the top in April, but still, no major company seemed interested.

Regarding this issue, Tapio Markki, vice president for Hardware Platform Components at Nokia stated that, “Nokia will start to ship its first Internet stick in early 2009, aiming to benefit from its know-how and experience in developing 3G technologies.” Markki further added that, “Leveraging these capabilities, we believe we are well-positioned to become one of the winning providers for HSPA modem solutions. The market for HSPA modems is expected to grow very rapidly during the coming years.”

Since this announcement was made, reports have surfaced implying that, after Nokia enters the USB modems business, sales will increase with over 8 million devices in 2009 alone. Other claims are even more optimistic, saying that Nokia will “steal” a highly significant percentage of Huawei sales, in addition to the sales boost noted above.

Such a development can be regarded as probable should we consider the fact that all HSDPA enabled devices Nokia has released so far have been very appreciated due to the high speeds and great reliability they offer.

More detailed information regarding the release dates or the prices is not available, but all in all, such devices seem well worth considering.