Helsinki (ip-192.com): Nokia unveiled its first phone running on Linux software, aiming at improving its offering at the top end of the market. Nokia said that its new Solutions Business Unit aims to better tie together its phone operations and new mobile Internet services offering.
Industry analysts see Linux as a key for Nokia to gain back ground in the coming years. The company has kept its overall market share stable, but it has lost share among more expensive models to the likes of Apple. High-end products are important for Nokia because the company has not only lost market share there but its average selling prices have declined faster than the industry average.
Nokia's workhorse Symbian operating system controls half of the Smartphone market volume, more than its rivals Apple, Research in Motion, and Google together. Nokia hopes that Linux will work well in its high-end product range.
"As Nokia announces the software platform that will drive its future services aspirations, it created a dedicated solutions unit. The challenge will be to ensure that all these elements work in harmony in the face of fierce competition from Apple and Google," so Ben Wood, head of research at CCS Insight.
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