Tuesday, December 1, 2009

Nokia Issues 2010 Predictions on Mobile Devices and Infrastructure

Nokia is predicting that industry mobile device volumes will be up approximately 10% in 2010, compared to 2009. For its part, Nokia expects its mobile device volume market share to be flat in 2010, compared to 2009. At its annual Capital Markets Day event in Helsinki, Nokia also predicted lower average selling price (ASP) erosion of its mobile devices in 2010, compared to recent years. To combat these trends, Nokia is pushing ahead with new valued-added services, including its ovi store for mobile applications, as well as initiatives such as mobile banking aimed at developing markets.

For the mobile and fixed infrastructure market, Nokia and Nokia Siemens Networks expect a flat market in euro terms for the mobile and fixed infrastructure and related services market in 2010, compared to 2009. Nokia Siemens Networks is expecting to grow faster than the market in 2010. The company is targeting non- IFRS operating margin of breakeven to 2% in 2010.

"In 2010, we will drive user experience improvements, and the progress we make will take the Symbian user interface to a new level. As an operating system, Symbian has reach and flexibility like no other platform, and we have measures in place to push smartphones down to new price points globally, while growing margins. I see great opportunity for Nokia to capture new growth in our industry, by creating what we expect to be the world's biggest platform for services on the mobile," stated Nokia CEO, Olli-Pekka Kallasvuo.

Some additional notes:

  • For 2009, Nokia retained the title of the world's fifth most valuable brand

  • Some 1.1 billion users now carry a Nokia in their pocket every day

  • Nokia devices are being sold at 650,000 points-of-sale across the world

  • The company's intellectual property portfolio now extends to over 11,000 inventions

  • NSN's driver's for growth are 1) Mobile broadband 2) Managed services 3) Subscriber-centric services