Message Font: Serif | Sans-Serif
No. of Recommendations: 2
'Nokia introduced two new smartphones on Wednesday, theLumia 620 and Lumia 920T. These represent the opposite ends of the spectrum when it comes to handsets: The low-end 620 carries an unsubsidized $249 price tag, while the 920T will retail at more than $700 minus any carrier subsidies. Yet both together represent what may be Nokia’s (NOK) best chance to gain market share on its peers.

The budget-priced Lumia 620 is aimed at the first-time smartphone buyer, and perhaps that’s a good audience to target. Most who have a smartphone have already invested in either iOS or Android apps for their phone, making it a barrier to switch. Some surely will give up their iPhone or Android for a Windows Phone, but so far relatively few have done so, based on market share and sales figures.

Consider a feature phone owner who hasn’t bought apps tied to a platform, however. At $249 retail, a carrier could easily subsidize the cost down to nothing, and the new smartphone owner would have a capable, easy-to-use device with apps and a media ecosystem in Windows Phone.'

'Since Windows Phone and Nokia were both late to the current smartphone era, I see more opportunity now with this strategy of a low-cost Lumia for areas still dominated by feature phones and a China flagship variant that doesn’t yet have to compete with Apple’s iPhone.'
MDP Home Fool
Print the post  


When Life Gives You Lemons
We all have had hardships and made poor decisions. The important thing is how we respond and grow. Read the story of a Fool who started from nothing, and looks to gain everything.
Contact Us
Contact Customer Service and other Fool departments here.
Work for Fools?
Winner of the Washingtonian great places to work, and Glassdoor #1 Company to Work For 2015! Have access to all of TMF's online and email products for FREE, and be paid for your contributions to TMF! Click the link and start your Fool career.