Losing market share, Nokia fights back
HELSINKI, Finland — Nokia Corp. introduced five new models Monday including its first flip phones, catching up with competitors who have eroded the company’s dominance in cellular handsets with the popular clamshell models.
Chief executive Jorma Ollila said the company, which has acknowledged losing market share of late, had completely revamped its offerings and strategy.
“We have reviewed the timings and pruned our portfolio, adding some new products and accelerating others — and during this process, we have even killed some product plans,” he said.
The model Nokia exhibited most prominently during its announcement Monday was advertised as the world’s smallest 3G, or third-generation, phone — the 6630.
At just 4.5 ounces, the 6630 features a 1.2-megapixel camera, an MP3 player and will support Internet transmission at 40 times the speed of technologies currently deployed, Nokia said.
The other high-end model, a clamshell 6260 with a swiveling flip, features a video recorder, Web browser, e-mail and VPN, with Bluetooth network and an optional wireless keyboard.
On the low end — a segment Nokia has not been known for — the Finnish company introduced the 2600, with a full-color display and handsfree speaker. In a nod to its rivals, Nokia also announced the 2650, a similarly equipped low-end flip phone, that has GPRS connectivity.
All the new models are expected to be in stores in the last three months of 2004.