14 DAY TRIAL // There are still lots of Nokia fans in the world, even though the Finnish company hasn't launched a new smartphone for quite some time now.
After the partnership with Microsoft ended a few years ago, Nokia focused its business on the telecommunication infrastructure, which culminated recently in the acquisition of French company Alcatel-Lucent.
Another slice of what Nokia means today, HERE, has been sold to a German consortium of cars. At the time of this report, Nokia now owns five businesses: Mobile Networks, Fixed Networks, Applications & Analytics, IP/Optical Networks, and Nokia Technologies.
Even though each of these five businesses is run by a group president, all report to Nokia President and Chief Executive Officer, Rajeev Suri.
The next step for Nokia would be to open another division that would license its brand in the smartphone business. However, that won't happen until the Finnish company finds the right partner.
Nokia confirmed plans to enter the smartphone market once again but is in no hurry to make it happen. According to Nokia's Suri, “There’s no specific timeframe. We don’t need to be in a rush. We will explore this with the right partner or partners, depending on the case.”
The new Nokia does not look like the Nokia we knew before
The next smartphone with Nokia brand will not be manufactured by the Finnish company. The partners that will work with Nokia will build, retail and advertise these products.
So, the Nokia we knew several years ago will not be the same as the Nokia that will introduce its next smartphones in the coming months.
Although rumor has it that Nokia plans to enter the smartphone market with an affordable product, the company is considering the premium segment as well.
“We think it’s a good business model because the Nokia brand has great retention – the recognition of the brand is still very high in all the major markets. We also think that if there will be a product with the Nokia brand on it there’s an opportunity for premium on that product – clear price premium,” said Nokia's CEO Rajeev Suri at MWC 2016.
If Nokia plans to launch a new smartphone by the end of the year, the next several months will be crucial for the company. It's very important though that the Finnish giant finds a solid partner that will be able to push its product on some of the most important markets.