Monday, November 5, 2012

Nokia (NOK) Gears Up For US Assault As Verizon Joins The Lumia League

The US smartphone industry is extremely significant for handset manufacturers since success in this market usually translates into positive consumer reaction in other markets. It is therefore crucial that Nokia Corporation (ADR)(NYSE:NOK) finds a way out of the US market, where it has exceptionally lagged behind its competitors. AT&T Inc.(NYSE:T) is backing the Lumia to the hilt and it is only carrier to have the Lumia 9xx. It could use its previous iPhone experience to prove a competent ally in this mission to create a third mobile environment.

On the other hand, considering that the Windows Phone has insignificant brand awareness lately, Nokia will require support from carriers. The Lumia looks like a strong competitor to other popular smartphones and giving exclusive access of mobile carriers to different specially-made Lumias could aid Nokia in winning more carrier-backing. Such support along with Microsoft’s Windows drive in the upcoming months could prove to be active in putting more Lumias in people’s hands.

The timing of the launch of Lumia is likely to put Nokia in direct competition with a lot of popular smartphone such as the Galaxy Note II and the iPhone 5. To counter that, Nokia has adopted a strategy to align the launch of Lumia with the latest release of Windows 8 to benefit from Microsoft’s Windows push during the holiday season.

In addition to Microsoft’s push, Nokia will be counting on support from mobile carriers that are looking to amplify competition in the smartphone industry and decrease the impact of subsidies on their margins. Nokia is seeking to get more marketing dollar behind its Lumia lineup by offering mobile carriers exclusive access to different custom-made Lumias. With different Lumia models, mobile carriers will be able to distinguish themselves from rivals better and try to take advantage of the exclusivity.


  1. As a loyal Microsoft Phone and Verizon customer, I will not be purchasing a new Windows Phone, becuase I can't get what I want and willing to pay for. I've been following the windows phone since before my HTC Trophy. Not to disrespect the HTC or Samsung WP's. They are great devices and I believe will do very well with Verizon. However, I want the Lumia 920 but will not have the opportuntiy due to the exclusivity give to AT&T. The Lumia 822, I believe will also do well with Verizon, but I prefer with I believe is the better phone. So, I don't know if I speak for the rest of the Verizon customers that are not able to buy the Lumia 920 ... but I see 3 losers in this particular #1 market; Verizon loses because there are those that want the best phone out there and will not upgrade until the 920 becomes available, Nokia loses sales because of the exclusivity to the #2 market with AT&T, and the Verizon customer, like me, loses because I'm being shut out of being able to make a choice, concerning phones. I'd be interested in knowing if there are other Verizon customers out there that are as frustrated as I am.

    1. I am equally frustrated with Verizon phone choices... I will most likely get the 822 since overall it is the second best choice for now and will get the 920 or 922 when it finally does come to Verizon.... verizon seems to be overly pushing the HTC phones but when you look at the nokia apps and sd card support the 8x comes in third place. if the 8X had 32gb of momory or 16gb with sd card support it could move up to second place.


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