Nokia Corporation (NYSE:NOK) (BIT:NOK1V) (HEL:NOK1V) is set to launch their X-Phone in China today. This will be Nokia’s first Android-based smartphone, and the Finnish tech giant is really hoping to take a solid portion of the market.
Nokia to launch Android phone
The fact that Nokia Corporation (NYSE:NOK) (BIT:NOK1V) (HEL:NOK1V) is launching this phone in China first says a lot about the company’s plans. It is important to point out that China has about 40% of the global smartphone market. If the company can find success in this key market, it could be easier to find success in other markets. The only things this company has to worry about are Apple Inc. (NASDAQ:AAPL) and Samsung Electronics Co., Ltd. (LON:BC94) (KRX:005930).
At the 2021 SALT New York conference, which was held earlier this week, one of the panels on the main stage discussed the best macro shifts coming out of the pandemic and investing in value amid distress. The panel featured: Todd Lemkin, the chief investment officer of Canyon Partners; Peter Wallach, the managing director and Read More
Like Apple Inc. (NASDAQ:AAPL)’s recent launch through China Mobile Ltd. (NYSE:CHL (HKG:0941), there was reportedly 7 million X-Phone registrations. Should this number translate to sales, the phone maker shouldn’t have a problem taking a big portion of the market.
The Street added, “Assuming the launch is successful, these so-called entry-level phones, which will be priced at around $100, may not contribute handsomely to Nokia’s bottom line. And I don’t believe that’s what management is focusing on at the moment. Over the past couple of years, Nokia has been in an extensive cost-cutting mode in an attempt to clean up its books. To that end, the company is no longer strapped for cash. And it now has the flexibility to do just about whatever it wants, including sacrificing near-term margins for market share.”
Nokia’s pathways to a brighter future
Nokia Corporation (NYSE:NOK) (BIT:NOK1V) (HEL:NOK1V) is on the path to success. The company recently purchased the rest of the joint venture Siemens for $2.22 billion. Now Nokia owns 100% of the business. Since Nokia is successfully working on a turnaround for the company, even doubters are starting to have a little more faith in the company. Nokia’s partnership with Microsoft for the Lumia lineup failed to be as successful as originally hoped for. Perhaps Nokia’s partnership with Android will prove even more lucrative.