Nokia Tries to Unlock US Market

Nokia Corp. (NYSE: NOK) has started recently hinted-at moves to build more distribution channels for its high-end and business phones in the U.S. outside of the traditional cellular operators.
The world's No. 1 cellphone vendor has now started selling some of its E and N series phones via Ingram Micro Inc. (NYSE: IM) and Brightpoint Inc. for large-scale enterprise buyers, and Dell Technologies (Nasdaq: DELL) and Gateway Inc. for individual users. The move to unlocked phones that can be used with multiple (GSM) operators breaks the traditional sales model in the U.S., where the carrier reigns supreme and it is hard to buy devices that aren't tethered to a specific network.
Nokia, however, as Unstrung reported recently, had to make some fresh moves in the U.S. because of poor results earlier this year. Nokia had seen enterprise net sales in the first quarter of this year leap in almost every region except the U.S. The firm also reported North American device shipments down by 42.5 percent at 4.8 million in the first quarter of the year compared to the same period in 2006. (See Nokia's US Enterprise Headache.)
Dell is selling the Nokia E61i enterprise smartphone, which incorporates 3G and WiFi connectivity, for $423.77. It also has other E and N multimedia phones on its site. Users will require a SIM card for either the AT&T Inc. (NYSE: T) or T-Mobile US Inc. networks to get the phones up and running.
Most analysts believe that Nokia needs to do more to get its products in front of American consumers and enterprise users. Many, however, are skeptical about the vendor's ability to break the carriers' stranglehold on the market.
"In the United States it is essentially a sign of desperation if a phone vendor tries to go around the carriers," former Gartner Inc. analyst Todd Kort told us recently. "The carriers are very powerful, and I cannot recall a single cellular device that achieved much success without carrier support. That could change, but even Apple figured it had better work though Cingular [ATT]."
— Dan Jones, Site Editor, Unstrung
The world's No. 1 cellphone vendor has now started selling some of its E and N series phones via Ingram Micro Inc. (NYSE: IM) and Brightpoint Inc. for large-scale enterprise buyers, and Dell Technologies (Nasdaq: DELL) and Gateway Inc. for individual users. The move to unlocked phones that can be used with multiple (GSM) operators breaks the traditional sales model in the U.S., where the carrier reigns supreme and it is hard to buy devices that aren't tethered to a specific network.
Nokia, however, as Unstrung reported recently, had to make some fresh moves in the U.S. because of poor results earlier this year. Nokia had seen enterprise net sales in the first quarter of this year leap in almost every region except the U.S. The firm also reported North American device shipments down by 42.5 percent at 4.8 million in the first quarter of the year compared to the same period in 2006. (See Nokia's US Enterprise Headache.)
Dell is selling the Nokia E61i enterprise smartphone, which incorporates 3G and WiFi connectivity, for $423.77. It also has other E and N multimedia phones on its site. Users will require a SIM card for either the AT&T Inc. (NYSE: T) or T-Mobile US Inc. networks to get the phones up and running.
Most analysts believe that Nokia needs to do more to get its products in front of American consumers and enterprise users. Many, however, are skeptical about the vendor's ability to break the carriers' stranglehold on the market.
"In the United States it is essentially a sign of desperation if a phone vendor tries to go around the carriers," former Gartner Inc. analyst Todd Kort told us recently. "The carriers are very powerful, and I cannot recall a single cellular device that achieved much success without carrier support. That could change, but even Apple figured it had better work though Cingular [ATT]."
— Dan Jones, Site Editor, Unstrung
EDUCATIONAL RESOURCES


FEATURED VIDEO
UPCOMING LIVE EVENTS
April 6-4, 2023, Virtual Event
April 25-27, 2023, Virtual Event
May 10, 2023, Virtual Event
May 15-17, 2023, Austin, TX
May 23, 2023, Digital Symposium
June 6-8, 2023, Digital Symposium
June 21, 2023, Digital Symposium
December 6-7, 2023, New York City
UPCOMING WEBINARS
March 28, 2023
A 5G Transport Inflection Point: What’s Next?
March 29, 2023
Will Your Open RAN Deployment Meet User Expectations?
March 29, 2023
Are Your Cable/Fixed/FTTX Customers Impacted by Outages?
March 30, 2023
Taking the next step with Wi-Fi 6E
April 4, 2023
RAN Evolution Digital Symposium - Day 1
April 6, 2023
RAN Evolution Digital Symposium - Day 2
April 12, 2023
Harnessing the Power of Location Data
April 20, 2023
SCTE® LiveLearning for Professionals Webinar™ Series: Getting A Fix on Fixed Wireless
Webinar Archive
PARTNER PERSPECTIVES - content from our sponsors