Nokia Plans To Make A Comeback In Mobile Phone Market

Nokia Plans To Make A Comeback In Mobile Phone Market
<a href="">Hermann</a> / Pixabay

Nokia recently announced plans to re-enter the mobile phone market next year, and the company is already seeking a partner to provide the hardware. The Finnish phone brand hopes to tap another company to take care of manufacturing, marketing, sales, and customer service. Last month, Nokia’s CEO offered a small hint of the company’s plan to re-enter the smartphone market.

Nokia wants to work with manufacturing partner

Nokia Technologies representative Robert Morlino claims the tech company will work closely with a partner to guide design and technology differentiation. He added, “That’s the only way the bar would be met for a mobile device we’d be proud to have bear the Nokia brand, and that people will love to buy.”

It is also reported that the new phone will debut during the last quarter of 2016 after the company’s deal with Microsoft allows it to use the Nokia name again. The telecommunications company sold its phone division to Microsoft last year, with all Lumia brand products now under the Microsoft brand. Nokia also rolled out the Android-based N1 tablet. The device uses the brand’s design and technology under its license even though Foxconn handled many of the details.

Exclusive: Dan Loeb’s Two New Stock Picks [Q1 Letter]

Nestle Dan Loeb Daniel Loeb third point capital hedge fund manager activist investor poison pen activism Yahoo corporate governance famous investorsThird Point's Dan Loeb discusses their new positions in a letter to investor reviewed by ValueWalk. Stay tuned for more coverage. Loeb notes some new purchases as follows: Third Point’s investment in Grab is an excellent example of our ability to “lifecycle invest” by being a thought and financial partner from growth capital stages to Read More

The upside of a Foxconn partnership

Hiring another company to handle some of the other business matters may be a good move for the Finnish phone maker. Neither Nokia nor Foxconn released official tablet sales numbers, but ZDNet’s Jo Best believes the partnership offers a low-risk solution.

Earlier this month, Microsoft announced plans to cut 7,800 jobs; the majority of those were phone business jobs. The Washington-based tech company also took a $7.6 billion write-down on the Nokia acquisition and a $750 million to $850 million restructuring charge. Despite the fact Microsoft took a huge financial with the absorption of the Nokia brand, CEO Satya Nadella claimed his company remains committed to first-party devices.

No posts to display