I think Tech buzz is seriously underestimating Nokia and the amazing growth opportunity they have in emerging markets...I think even Nokia doesn't even really know how great this opportunity is (if they did they would probably pay more attention to their 'ecosystem'). The profit might not be as good as iPhones or Android, but the opportunities to propagate a captive and monetizable platform are really awesome.
iPhones and Androids are really expensive outside the U.S., U.K., and all the other countries of the world that don't subsidize phones for guaranteed service. But as far as phones are concerned, the world wants to be 'smart' and use apps like WhatsApp, Facebook, Twitter, et al. It's going to be really hard for most people in these emerging regions to set themselves back $500 or $600 for a top-end smartphone. Even $200 or $300 is pushing it. But $50 to $100 is an absolute sweet spot.
Nokia has managed to make an impressive line of US$100 touch-enabled phones e.g. Asha Series. I've just tested one phone (Asha 310) and for the price it is a great 'semi-smart' phone with app-ability + Wi-Fi. And it costs about US$100. At a saving of US$400 off of a Samsung Galaxy S3 or higher, that is an offer that is very difficult to pass up, especially when all you really want to do is Chat or Facebook or Tweet or play simple games. Also, if you pair that with some of the friendly data plans available in Nigeria today, this could become the predominant platform that a generation access the internet...not via PCs but via phones.
Nokia has also reduced the number of phone models they offer (Can I get an Halleluyah?!). Back in the day, your middle name had to be 'MySQL' if you were going to remember all the phone models Nokia sold...dizzying array does not quite capture the feeling. You literally could not buy a phone merely on the grounds of indecision as result of over-abundance of choice. So I think cooler heads in their management have prevailed in this regard.
All that's left now is for Nokia to pay significantly more attention to their Ovi Store and Developer platform, probably rebranding and relaunching it maybe, and trying to tap into local regional talent to develop apps. They also have to create monetization platforms that easily leverage local payment systems and financial platforms. We are still yet to see a great local online payment system here, but it's inevitable one will spring up soon enough #Wink
. The ecosystem is really the key going forward.
This could just be Nokia's Second Chance of becoming a big deal in Mobile like they once were. We'll see. The stock is currently at $3.65 today (last time I checked). I don't know about you, but I wouldn't short it indefinitely. #SecondChances #Orbican