Focus: Nokia, who loses power in the emerging market, is late for new models

[New Deli / Helsinki 29th Reuters] Finnish mobile phone major Nokia Nok1V in the emerging market.He has lost his dignity and Samsung Electronics 005930 in Korea.Once inferior rivals, such as KS, are in the spotlight.

Nokia was the world's largest mobile phone company for 14 years, but in the first quarter of this year, Samsung was overtaken by Samsung, and the profit -up smartphone (multifunctional mobile phone) category has already been used last year..O and Samsung are ahead.

Apple's "IPHONE" has taken the brightness of Nokia, but Nokia is losing its brightness in the conventional mobile phone market.This field was a source of revenue for the company, and was a star that has gained powerful growth for many years in the emerging market.

In January -March this year, Nokia's conventional mobile phone sales decreased by 16 % compared to the same period of the previous year, declining in four quarters of the fifth quarter.On the other hand, the competing Chinese mobile phone and communication equipment manufacturer, Nakako Toru (ZTE) 000063..SZ and Hua Technology (Huawei) HWT.UL is rapidly increasing sales.

According to Indian research companies Cyber Media, Nokia market share has been reduced by half in three years until 2011.Out of 183 million units sold in India during the same period, the company's share was 31 %.

Analysts say that Nokia is unable to keep up with the change in the tastes of the middle class that is rapidly expanding, and has lost the support of dealers who have influenced the choice of buyers.In India, telecommunications operators are generally low and do not assist in selling telephone aircraft.

Manish Katri, a mobile phone dealer in Mumbai, says, "We face a lot of deals to get a dummy product from Nokia (for demonstration) from Nokia.There is no boost at all. "Although Nokia has no grudge, it is better to recommend a more popular model for customers.Katori said that his own shops, which have about 500 cars on the phone, would have a low priority for Nokia, but Samsung said they would play the staff.

On the other hand, in China, the world's largest mobile phone market, telecommunications carriers are starting to play a major role in mobile phone sales, which is a headwind for Nokia.

"Correspondence providers give priority to local companies in China over foreign companies," said Pete Kaningham, an analyst of a research company Canalis.

According to Strategy Analytics, Nokia's sales fell 62 % year -on -year in January -March, and market share decreased from 39 % last year to 24 % last year.

In Africa, Nokia's share fell from 62 % last year to 51 %.Strategy Analytics Neil Mooston pointed out that Nokia has a good sales network in Africa and is still overwhelmed by rivals, but needs to rush to fall.

Nokia, on the other hand, has stated that it will continue to invest in these emerging markets and attract customers."We will continue to enhance the assortment of mobile phones in India, Nigeria, Brazil, and Mexico, which are particularly selling the" Asha "series," said Mary McDawell, Executive Vice President.

Analysts also believe Nokia is slow to respond to popular technology.For example, in the emerging market, multi -SIM compatible models that can use multiple terminals on one line are popular, but Nokia did not have a compatible model until mid -20111.

In addition, other companies are also different from the conventional mobile phone full touch screen compatible models.According to Strategy Analytics, the model was sold around 100 million units last year.

"Nokia did not have a full -touch screen compatible model, so he gave the market to other companies such as Samsung, but Samsung noticed this three years ago.Nokia has not yet prepared this kind of product yet. ""Meanwhile, the price of Google's Android OS (basic software) device has fallen, and Nokia's business opportunities are almost closed."

Nokia plans to launch a full -touch screen model "306" in the next few months.

"Nokia's main challenge this year is to stop the plunge of the main smartphone products and re -establish Nokia's overall brand power."

Last year, Nokia abandoned his own OS "Symbian" for his smartphone, and his ability is unknown, Microsoft MSFT..O's "Windows phone" was adopted.Before the launch of a model equipped with Windows phone, the sales of Symbian -equipped models have plummeted.

This month, Nokia has launched a smartphone model equipped with Windows phone in China.He has conducted an aggressive sales campaign, and has been developing large -scale advertisements in subway, magazines, and newspapers.

According to Analysts who participated in the Reuters survey, Nokia needs to sell 27 million Windows phone models this year, 55 million units next year, and 94 million in 2014.Considering that the first quarter of this year's first quarter had only 2 million units, Nokia's future road seems to be very steep.

(Devidutta Tripathy and Tarmo Virki reporter)

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