| Nokia Prediction 2010 Global mobile phone sales "Rebound" |
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| Friday, 04 December 2009 08:56 | |||
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Helsinki - Nokia, cellular phone manufacturer (mobile) world's largest, Wednesday, predicts the global mobile phone sales volume will grow about 10 percent next year after falling about seven percent this year. "Nokia estimates that the mobile device industry volumes to rise around 10 percent in 2010, compared with 2009," said the Finnish company's market day in the capital, Helsinki. "Growth smartphone (volume) will be significantly higher," chief executive officer of Nokia Olli-Pekka Kallasvuo told investors and reporters. While the company estimates its market share to be flat overall next year, the market value of the euro will grow the size a bit. In mid-October, Samsung's first reported loss in a decade amid growing competition in the smartphone market from the iPhone maker Apple and Blackberry maker RIM as well as problems with the joint venture Nokia Siemens Networks. Nokia in the third quarter net loss 559 million euros (844 million U.S. dollars). The group has announced cuts of more than 4200 jobs, including the voluntary resignation of 1300, as part of the recovery program launched in January. In the midst of the global financial crisis, many consumers have cut back on spending, which has been bent phone sales. Nokia has estimated that about 1.12 billion mobile devices will be sold in the world this year, which is about seven percent less than last year. But the cell phone giant had predicted the overall market is now stabilizing. "Visibility into the market is a little better," said chief financial officer Timo Ihamuotila. He added that although the predicted future competition will continue to be fierce, Nokia estimates that the smartphone segment to be the biggest number of sales of the device next year, which would slow the fall of average selling prices and raise profitability. For this year the company predicts that approximately 41 percent of sales of mobile devices in terms of value comes from smartphones. Nokia said the next year aims to increase profits and projected operating margins in device units and services will increase from 12 percent this year to 14 percent in 2010. It also plans to cut costs in the unit of research and development (RD) and some of the last week has been announced that it would cut about 550 jobs RD. "I believe Nokia in conditions better than our competitors. I mean that our challenge is clear but so is our direction," said Kallasvuo. Nokia said it will continue to target all price ranges in all markets to reach customer groups vary, but will also shorten the smartphone portfolio next year. Industry observers say the Nokia Symbian operating system obsolescence is one reason why many consumers choose the Apple iPhone or RIM Blackberry, which is more easy to use. Last month, Nokia began selling device N900 using Linux-based Maemo platform and has received good feedback on the functions of browsing, but the Symbian platform will continue to be the largest platform in the future. "In 2010 you will see a new version of Symbian will be released," said Kallasvuo. In addition to Symbian and Maemo, Nokia mobile phone is more fundamental S40 operating system. Kallasvuo said the company would stick to the three operating systems for some time. "This is the best combination for us. You need more than one (operating system), but once again you should not have too much or you will start losing the benefits of scale." (*) (ANTARA News)
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