Thursday, October 18, 2012

Nokia Corporation (NYSE:NOK) Lumias to go on sale in Germany on Nov 1, Shares Up On Earnings Beat

Nokia Corporation (ADR)(NYSE:NOK)’s Lumia 920 and 820 will be released in Germany on November 1, according to German retailer Media Markt which has it listed on its website.

On that day customers will be able to get the unlocked, SIM-free Lumia smartphones at a price of about $582 for the Lumia 820 and $841 for the Lumia 920.

That makes it fairly expensive compared to competing smartphones in the market, especially the iPhone 5 which is retailing at about $720 in most markets.

While prices might go down in a few months that kind of price may deter purchasers who may well be trying out a Nokia Lumia smartphone for the first time.

Intomobile, which reported the development, said that carriers in Germany would also start offering the smartphones for free with contracts that could start at 25 to 30 euros a month.

Will NOK Hit $5 This Year? Find Out Here

In the United States, the country's No.1 network carrier, AT&T Inc.(NYSE:T ) has entered into an exclusive deal to sell the Nokia Lumia 920.

According to WPCentral, the company has entered into a six-month long exclusivity deal with Nokia for selling the phones.

Which means that customers who are on Verizon or T-Mobile will have to wait for six months before they can get their hands on the mobile and their carriers can start selling them, or switch their service provider altogether.

It all depends on the initial user experience of the Lumias, which is sure to be known within the first two days of it going on sale.

Nokia, it may be recalled, is tweaking the Lumias, which it launched in September, to suit the requirements of each of the carriers it has tied up with.

Shares of NOK jumped over 5% in the pre-open session the company’s Q3 revenue beat analysts’ target by 200 Million euros, while posted small adjusted operating profit instead of the expected loss. A better than expected results were driven by strong performance in emerging markets for Asha feature phone sales, which boosted margins as well.

Interestingly, the company has topped wall street’s estimates in terms of phone volume growth in the past two quarters, whereas analysts were projective a decline.

1 comment:

  1. But the iPhone 5 16gb costs about $880 in germany on applestore so the comparasion to iPhone "in most regions" seams a bit flawed?


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