Nokia's New N-Series Smartphones Bet On Single User-Interface for Media (NOK)

On Tuesday, Nokia (NOK) held a conference on their N-Series products and announced three new Smartphones -- the N72, N73 and N93, expected to be available in June 2006. Nokia see their N-series phones as evolving Mobile Computers (MC).

In a note to clients, Lehman Brothers analysts Tim Luke and Stuart Jeffreys outlined the opportunity for Nokia -- key excerpts:

If successful, the higher value N-Series may help provide support to Nokia's market share in the high-end and, more importantly, its overall handset ASP. We note that the success of the N70 (one of the first N-Series devices) partially contributed to the improved sequential ASP performance for Nokia during Q1.

According to Canalys data, the global Smartphone market is estimated to grow from 53m units in 2005 to an estimated 100m units in 2006 and 250m units in 2008. Nokia were estimated to have more then 50% market share in 2005.

Nokia suggest that, according to their studies, the market may move towards a single user interface for internet, music, movies, radio and TV with the increased functionalities. According to Nokia management, the N-series phone range is designed to drive mobility to the internet while enabling a convergence of product functions...

However, end market trends have suggested that the desire for single function products are still strong, as single function products tend to be better on their specialised platforms.

(Image: Mobile Gazette)