The Two Have Been Competing for Years
Each company, Mawston added, has been forced to compete in segments where the pressure from Apple and Android is least intense, and both can benefit thereprovided they dont get caught up in a race to the bottom on pricing.
In recent years, RIM and Nokia have failed to create truly exciting high-end smartphones that are a fraction as compelling to U.S. users as the iPhone. RIMs latest answer to this, under the charge of new CEO Thorsten Heins, is a multi-part strategy that includes Mobile Fusionan evolution of its BlackBerry Enterprise Server that enables enterprises to support Android and iOS devices, along with BlackBerry handsetsand BlackBerry 10, a new platform and device mix that RIM says will be hit, though its still far off.
The competitive environment has become increasingly challenging, Heins said during RIMs March 29 earnings call, adding that RIMs plans were not without risks and challenges, and there is no guarantee of success.
Nokias comeback strategy includes a new line of devices with an emphasis on quality and craftsmanship, tied to Microsofts new Windows Phone OS, which is very much still growing its ecosystem.
To help penetrate emerging markets, Nokia is launching devices, such as the Asha feature phone, in India. However, the biggest prize is still North America. In the United States, Nokia launched a Lumia 710 on the T-Mobile network and, weeks later, the higher-end Lumia 900, a Long-Term Evolution- (LTE-) enabled phone with a $99 price tag, on AT&T. The Lumia 900 was generally well-received, with analysts mostly agreeing that it accomplished what it need to: not take over the party, but get Nokia through the door.
After warning investors of a disappointing first quarter, during which it shipped 2 million Lumia units, Nokia announced April 19 that its net sales declined 29 percent year-over-year and it posted a net loss of approximately $2 billion U.S. dollars.
Over the last year, we have made progress against our new strategy, but we face challenges as we move forward, Nokia CEO Stephen Elop said during the earnings call.