HMD Global, which manufactures Nokia-branded smartphones, has mainly represented budget and mid-range models in recent years. It doesn’t look like the flagship variants of the PureView series will be back on the market any time soon, a company spokesman said bluntly.
Currently, according to the representative of HMD Adam Ferguson (Adam Ferguson), the manufacturer has abandoned the production of flagship models and has focused on the production of budget options. For example, at the recent MWC 2022 fair, the company presented almost no new gadgets, and the devices shown were budget devices.
According to Ferguson, there’s no point in releasing “$800 smartphones” for the company right now. He also said that the manufacturer has no intention of getting involved in the “specification war” that has erupted in the flagship smartphone market. Instead, Nokia is looking for other projects.
The statement of one of the top executives of HMD Global is not surprising – since the brand’s return to the phone / smartphone market, the company has for many years mainly focused on releasing high-quality, inexpensive models. At the same time, it did not try very successfully to enter the flagship segment – Nokia 9 Pureview was released in 2019, which did not bring the brand back to its previous success, and the pandemic only aggravated the situation.
The change in strategy with HMD Global’s realignment towards more budget-friendly options has resulted in a return to profitability as of Q3 2020. The fourth quarter of last year was Nokia’s most profitable — about 3.2 million smartphones shipped and revenue grew 41% from the year-ago period. Nokia now releases only affordable models, including numerous feature phones. It is stated that the company expects to produce affordable devices with high-capacity batteries capable of maintaining functionality for several years. In addition, the company hopes to become the leader in the American prepaid smartphone market by the end of the year.
Asked if such comments could be seen as symbolic of the end of Nokia’s flagship models, Ferguson said there is still a long way to go before the company can produce flagships and compete on an equal footing with market leaders.