Monday, March 9, 2009

Nokia Updates Their Products ( + Laptop )

THE world's top mobile phone maker Nokia is eyeing entering the laptop business, its Chief Executive, Olli-Pekka Kallasvuo said in an interview to Finnish national broadcaster YLE on Wednesday.

"We are attractive very actively also at this opportunity," Mr Kallasvuo said, when asked whether Nokia plans to make laptops. Industry has rumoured about Nokia's accessible plan to access the PC industry since late last year, but Mr Kallasvuo's comment was the first official admittance of such plans.

"We don't have to look even for five years from now to see that what we know as a mobile phone and what we know as a PC are in many means converging. "Today we have hundreds of millions of people who are accepting their first internet experience on the phone. This is a acceptable indication," he said.

Nokia's comments appear a week after No. 3 PC brand Acer launched a foray into the phone business with eight mobile phone models, joining leader Hewlett-Packard and No. 4 Lenovo in the high-growth space. While able accumulation margins in the smartphone industry attract PC brands, the attraction of the low-margin computer industry is less obvious.

"Nokia maybe afraid about entering a market segment that is already heavily commoditised, but it would be in a position to exploit its enormous scale in manufacturing, supply chain and distribution," said Ben Wood, Research Director at CCS Insight.

"All leading mobile network operators and retailers are adding affiliated notebooks and netbooks to their portfolios alongside mobile phones. On this basis it comes as no surprise that Nokia is evaluating this segment," he said. The global PC industry was resilient for most of last year when other technology sectors were ailing, but it too has now been caught up in the deepening economic downturn that has hit demand from consumers and corporate buyers.

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