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the following is an article from
www.thefeature.com a website owned by nokia. it comes after a quarter where four major manufacturers ate into nokia's market share at the same time. mediocrity is finally being exposed...
Nokia Slips As Samsung Steals Share
By Carlo Longino, Fri Apr 16 14:00:00 GMT 2004
The two companies released first-quarter earnings today, but that's about all they've got in common: Samsung celebrated record profits while Nokia again warned on second-quarter sales.
This could be the fourth quarter in a row that revenue is down at the market leader, and the company said second-quarter profits will be well below analyst expectations. It's because of the same reasons given a few weeks back -- holes in the product line, slipping handset prices, and a weak US dollar. Nokia's own market share figures, which can be a bit optimistic when compared to outside analysts' numbers, show the company lost 3 points to 35%.
CEO Jorma Ollila told CNBC that the company didn't move as quickly as it should have, compared to changes in products made by competitors, and in a pretty forthcoming statement, said the company was wrong not to embrace flip designs sooner.
Samsung again makes an interesting comparison, as it's thriving everywhere Nokia is struggling. The overall handset market grew by 29% in the quarter to 128 million. Nokia's sales were up only 19 points, while Samsung's shot up 52% to 20.1 million. Those sales would give Samsung over 15% market share compared to about 10% in the fourth quarter of last year. And whereas Nokia's estimates are shrinking, Samsung recently raised its yearly sales forecast.
Strategically and design-wise, the company's opposite of Nokia. Flips are its forte, and it moves as quickly as anyone in adding new features in their devices. Some analyst numbers from last year say that 30 percent of Sony Ericsson's devices sold in 2003 and 18 percent of Samsung's had integrated cameras, compared to only 6 percent for Nokia.
It's clear that Nokia's got to move more quickly to fill in its product mix and be much more aggressive about adding new features to its handsets. The company's touted the fact that it will launch (which doesn't necessarily mean ship) 40 handsets this year. That may sound like a lot, but compare it to Samsung's 130. The Korean manufacturer is also continuing its aggressive rollout of features: 98% of its phones this year will have a color screen, and just over half will have cameras.
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Posted: 2004-04-16 19:54:01
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Their CEO said the products they are going to introduce during the next 9 months will put their market share where it was and higher
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Posted: 2004-04-17 10:35:54
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130 new fones from Samsung? Thats ten a month! Flood thd market and hope people will buy. Nokia are depending on series 40 4,096 colour phones tn much. Thats old hat now.
This message was posted from a Nokia
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Posted: 2004-04-17 12:53:26
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Quote:Their CEO said the products they are going to introduce during the next 9 months will put their market share where it was and higher
Maybe with 7700, 7610 and ngageqd :?: Don't be silly as they are.
[ This Message was edited by: bohdan on 2004-04-17 12:01 ]
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Posted: 2004-04-17 13:00:40
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Nokia is in a serious situation: old-looking brickets needing pricelowing! Equal situation as Motorola some years ago! Bad Moon Rising as CCR sings!
This message was posted from a T39
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Posted: 2004-04-17 13:06:32
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Nokia taste the other side of the reality.
[ This Message was edited by: draak1 on 2004-04-17 12:12 ]
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Posted: 2004-04-17 13:10:28
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Nokia is losing market shares to Korean manufacturers. SE at the moment is not much of a threat to Nokia.
So why are the SE fans celebrating? SE may get clobbered in the fight between the Finns and Koreans. For all we know, SE products are overpriced, overspec'ed and overlooked by consumers. So if there is a price war, obviously SE will not stand a chance.
Somebody will have the last laugh but it will NOT be SE.
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Posted: 2004-04-17 19:19:46
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Blame on the odd-lookin nokia phones, they have been coming up with some strange design
This message was posted from a T630
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Posted: 2004-04-17 19:27:03
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Product from SE is overpriced,are you kidding.
Nokia product and Samsung product is far more overpriced.
Look at the E700,and the T630 who is cheaper?
[ This Message was edited by: draak1 on 2004-04-17 18:46 ]
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Posted: 2004-04-17 19:45:29
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T630 is cheaper but the e700 looks better
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Posted: 2004-04-17 19:47:10
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