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Nokia (NOK) slashes the price of its flagship Lumia 900 phone by half in the U.S., barely a...

Nokia (NOK) slashes the price of its flagship Lumia 900 phone by half in the U.S., barely a quarter after its introduction - though it's not clear whether Nokia or partner AT&T (T) will take the bigger hit. Quick price drops aren't unprecedented, but NOK (with market cap now down more than 95% from its tech-boom peak) is under scrutiny after a lackluster Lumia rollout.
Comments (50)
  • Tack
    , contributor
    Comments (14015) | Send Message
     
    Nokia and RIM are in a race to see who first gets to be stuffed and placed next to the do-do bird at the natural-history museum.
    15 Jul 2012, 02:47 PM Reply Like
  • EShy
    , contributor
    Comments (94) | Send Message
     
    The main difference is that RIM has no one else supporting their OS. They're all alone and have to spend all the resources for software, hardware and marketing.

     

    Nokia's move to windows phone reduced their costs on the software side and they no longer have to push an ecosystem alone. If Microsoft's move with windows 8 and it's common user experience to windows phone works, they might be able to move devices without too much marketing work.

     

    Both companies stock is at a low, but Nokia at least had some direction, you know when their new devices will come out (October) you've seen what they can do with the lumia 900 (I don't own one but all the reviews are great) and at the same time RIM keeps postponing the release of their new devices/OS.
    If I had to take a chance on one of the two, it won't be RIM...
    15 Jul 2012, 04:51 PM Reply Like
  • pureview8
    , contributor
    Comments (226) | Send Message
     
    What a misleading article.

     

    It's a price cut of $50. The subsidy price with 2yr contract drops from $100 to $50.

     

    The unsubsidized price drops from $450 to $400.

     

    Companies do this all the time to clear inventory for the new models. This has long been expected by those who follow Nokia.
    15 Jul 2012, 06:24 PM Reply Like
  • mikety
    , contributor
    Comments (36) | Send Message
     
    Stupid press must be short Nok.
    15 Jul 2012, 06:47 PM Reply Like
  • Matthew Davis
    , contributor
    Comments (4170) | Send Message
     
    And who ISN'T short Nokia? Are you kidding?

     

    That's a pretty funny comment.
    15 Jul 2012, 07:51 PM Reply Like
  • Canary Cash
    , contributor
    Comments (471) | Send Message
     
    I was bullish prior to this bullsht
    15 Jul 2012, 02:49 PM Reply Like
  • EShy
    , contributor
    Comments (94) | Send Message
     
    really? then you shouldn't have been bullish. nothing changed. this phone was priced lower when it launched. Nokia is trying to get rid of the inventory they have left before announcing and releasing the WP8 devices (which is only 3 months away)
    15 Jul 2012, 04:45 PM Reply Like
  • Matthew Davis
    , contributor
    Comments (4170) | Send Message
     
    Exactly, they went on sale from day one knowing that those of us stupid enough to buy a WP7 would be obsolescent 6 months later! Thanks a$$holes!
    15 Jul 2012, 07:52 PM Reply Like
  • Canary Cash
    , contributor
    Comments (471) | Send Message
     
    maybe...
    16 Jul 2012, 08:36 AM Reply Like
  • css1971
    , contributor
    Comments (870) | Send Message
     
    Really? $49... WTF?

     

    Ebay says $299 new... yup, there's one with 8 bids for a $218 and a couple of hours to go on the auction.

     

    They should sell them on ebay. Huge arbitrage opportunity there.
    15 Jul 2012, 03:06 PM Reply Like
  • Canary Cash
    , contributor
    Comments (471) | Send Message
     
    With a 2 year contract
    15 Jul 2012, 03:16 PM Reply Like
  • css1971
    , contributor
    Comments (870) | Send Message
     
    Minor problem with the post title and content then...
    15 Jul 2012, 03:33 PM Reply Like
  • blueblood
    , contributor
    Comments (33) | Send Message
     
    What a fall from grace RIM and NOK have gone through. Doesn't seem like anything they do is going to lift them above water. I blame arrogant management during the good years.
    15 Jul 2012, 03:40 PM Reply Like
  • Yokyok
    , contributor
    Comments (330) | Send Message
     
    windows phone sleeps with kin
    15 Jul 2012, 04:02 PM Reply Like
  • johnycarrs
    , contributor
    Comments (96) | Send Message
     
    Ridiculously misleading- They have reduced the SUBSIDISED price from $99.99 to $49.99.

     

    So its a price reduction of $50 not 50% of the phone cost.
    15 Jul 2012, 04:17 PM Reply Like
  • EShy
    , contributor
    Comments (94) | Send Message
     
    Not to mention the fact that when it launched it was priced 20-50$ with the two year contract (I saw 20 on Amazon, several stores had the 50 price point) and Nokia gave 100$ credit because of some issue. so they actually paid you to get the phone.

     

    Also, they make it sound like this has something to do with Nokia's recent performance and as if it's a last shot at moving merchandise. the reality is that all smartphones get lower prices when newer version are about to come out. You see that a lot with Android and you see it with the iphone.

     

    This isn't like HP selling their webos tablet at loss to get rid of the merchandise when they killed the product.
    15 Jul 2012, 04:43 PM Reply Like
  • Matthew Davis
    , contributor
    Comments (4170) | Send Message
     
    Yes, very true, WP8 is coming out in about a month or at latest by fall.
    15 Jul 2012, 04:45 PM Reply Like
  • KevinRemde
    , contributor
    Comments (414) | Send Message
     
    Well-said, EShy.

     

    This is actually a good opportunity to get a pretty kick-a** phone. But I'm a little biased. 3 of my family members have it already. And I work for Microsoft. :)
    15 Jul 2012, 05:26 PM Reply Like
  • Matthew Davis
    , contributor
    Comments (4170) | Send Message
     
    Got mine for $50 at pre-order on Amazon.

     

    Most reliable phone I ever owned. Simple, never crashes, long battery life.

     

    Watch a 2 1/2 hour movie on Netflix and still had 30% battery left which lasted the rest of the day. Takes excellent photos, has auto focus with a half press of the button, and can adjust white balance and settings, use the photo effects on pics, ect. Nokia drive is the best GPS hands down. Local scout is amazing for finding food and stuff to do with in a few miles of you when out of town.

     

    Unfortunately, its a beta-max...superior product not being adopted by the mob.
    15 Jul 2012, 04:37 PM Reply Like
  • tullius
    , contributor
    Comments (54) | Send Message
     
    Those in the know..know where to go. Nokia and Microsoft are grand slam winners. Study up on the benefits of the Lumina, and with the ability to stay close to Microsoft necessities, this team is an Olympic winner. Technology at its best. Do you really believe that Costco is the "Term Paper" destination to study peoples cell phone choices. HELLO!
    16 Jul 2012, 10:37 AM Reply Like
  • Matthew Davis
    , contributor
    Comments (4170) | Send Message
     
    Lumia tips:

     

    Hold down the windows button for voice search, and voice command (ie. Call home)
    The camera button doubles as the auto focus with a half press
    The microphone means you can voice text, search, call
    Internet explorer can access web accounts such as E*trade, its just small.
    16 Jul 2012, 02:59 PM Reply Like
  • westkite
    , contributor
    Comments (218) | Send Message
     
    I wen to COSTCO today and observed the trend in smartphone buying. For about an hour, not even one person looked at Lumina 900 which Nokia is practically giving away. I did see some people looking at even HTC. No one is buying the phone. . . . . If WP8 does take off it seems like only Samsung will benefit. Of course, Nokia will sell maybe 4 million phone, but that is a small percentage compared to the volume of IPhones and Galaxy III. Stay away and keep your money, or go to Las Vegas, where you have better odds.
    15 Jul 2012, 05:02 PM Reply Like
  • Barry Crocker
    , contributor
    Comments (454) | Send Message
     
    you stood there for an hour watching people look at phones ?

     

    and then security dragged you away :)
    15 Jul 2012, 05:26 PM Reply Like
  • Sam Liu
    , contributor
    Comments (3864) | Send Message
     
    How much is the Lumia 900 at Costco?

     

    Maybe it wasn't such a bargain.

     

    Remember that HP touchpad flew ...
    15 Jul 2012, 09:09 PM Reply Like
  • Matthew Davis
    , contributor
    Comments (4170) | Send Message
     
    Touchpads sold out as soon as it went on firebrand.
    15 Jul 2012, 09:11 PM Reply Like
  • Cherry Picker
    , contributor
    Comments (383) | Send Message
     
    This is terrible news for Nokia, but not so bad for consumers. Will people buy brand X at a fraction of the cost of what the coolest kids on the block are paying for their phones? I think yes. Will the Lumia be grossly inferior? I think not. Will the phone stop working if Nokia goes belly up. Again, I think not. It certainly looks bad for Nokia, but there may be more to this story than a distressed company acting in desperation.
    15 Jul 2012, 05:50 PM Reply Like
  • pureview8
    , contributor
    Comments (226) | Send Message
     
    Nothing terrible about the news.

     

    WP8 devices are coming soon, so they are cutting the price on current models to clear inventory.

     

    Apple does the same with older iPads and iPhones.
    15 Jul 2012, 06:31 PM Reply Like
  • Matthew Lewis
    , contributor
    Comments (378) | Send Message
     
    Apple does not drop prices 1 quarter into a product launch.
    15 Jul 2012, 07:03 PM Reply Like
  • Matthew Davis
    , contributor
    Comments (4170) | Send Message
     
    Which is why I have such mixed feelings. I bought a Lumia 900 thinking it had a year or at least an upgrade potential, but that was dashed, so now I am hating on Nokia for doing this. Why didn't they just wait until WP8 and skip 7? Their stock hasn't gone up because of WP7 and neither has their bottom line. It would have been better to just launch a WP8 and Tablet all at the same time.

     

    There is hope:
    Nokia Lumia 900 can run windows 8
    http://bit.ly/O1fxba

     

    I still love my phone, but I know its not going to have the apps or support I was waiting for. No E*trade app, No other important apps I really thought were going to be released. It's a little twisted, I am going to write them and complain vigorously. That'll show them.
    15 Jul 2012, 07:57 PM Reply Like
  • kmi
    , contributor
    Comments (4215) | Send Message
     
    "Apple does not drop prices 1 quarter into a product launch."

     

    Hmmmm...

     

    From Wikipedia:

     

    "Initially priced at US$ 599 and US$ 499 for the 8 GB and 4 GB models, the iPhone went on sale on June 29, 2007"

     

    "On September 5, 2007, the 4 GB model was discontinued, and the 8 GB model price was cut by a third."
    16 Jul 2012, 08:34 AM Reply Like
  • Matthew Lewis
    , contributor
    Comments (378) | Send Message
     
    2007? You sure you couldn't pull up something from the late 90's too?
    16 Jul 2012, 08:39 AM Reply Like
  • kmi
    , contributor
    Comments (4215) | Send Message
     
    So I'm not wrong, am I? Which means you are.
    16 Jul 2012, 08:45 AM Reply Like
  • Matthew Lewis
    , contributor
    Comments (378) | Send Message
     
    I think most rational folk knew that I implied "recently". I'm sure you could go back to the 80's and 90's and find many instances where Apple dropped prices soon after product launches. I'm not sure how a price drop on the original Iphone half a decade ago is relevant to the conversation today.
    16 Jul 2012, 08:50 AM Reply Like
  • kmi
    , contributor
    Comments (4215) | Send Message
     
    If you can't see the comparisons in the debut a new platform then I don't know what to tell you.

     

    And making broad statements that imply Apple can't and has never fumbled in its efforts vis a vis its competitors is an argument that most certainly bears debunking.
    16 Jul 2012, 09:06 AM Reply Like
  • Matthew Lewis
    , contributor
    Comments (378) | Send Message
     
    If you can't tell the difference in margins between the price of the original Iphone and the new Nokia phone then I don't know what to tell you. It's Apples to Oranges. Apple was still minting money after the price cut of the original Iphone, are you confident Nokia is doing the same? I'm not.

     

    The original Iphone was ridiculously overpriced...no doubt about it. And in the past 5 years Apple hasn't fumbled in its efforts vis a vis competitors.
    16 Jul 2012, 09:15 AM Reply Like
  • kmi
    , contributor
    Comments (4215) | Send Message
     
    You are changing the conversation, I merely pointed out you were wrong, and you keep saying 'I'm wrong but look at all this other stuff going on!'

     

    I have no interest in pursuing a battle of ego in an internet forum. Good luck in your investing.
    16 Jul 2012, 09:56 AM Reply Like
  • MICHAELIRISH131
    , contributor
    Comments (43) | Send Message
     
    A lot of bad press from the start. Selling a phone that won't fit the windows 8 model, slapping customers to get them to buy your peoduct never works. But Microsoft could get away with it before.. No now!
    15 Jul 2012, 08:03 PM Reply Like
  • Matthew Davis
    , contributor
    Comments (4170) | Send Message
     
    What amazes me is this video...a Lumia 900 running windows 8, yet they won't reward us believers in the product with the upgrade?

     

    Bad taste in my mouth.

     

    http://cnet.co/NqhMXN;txt

     

    Look at this...give us the WP8 upgrade!
    15 Jul 2012, 09:00 PM Reply Like
  • jimdart
    , contributor
    Comments (138) | Send Message
     
    the hardware on the Lumia 900 wont support a full W8. But as it mentions in the video, the cool home screen will be on the W7.8 update that you will get.
    16 Jul 2012, 03:40 AM Reply Like
  • bozo999
    , contributor
    Comments (2) | Send Message
     
    I'm a bozo and bullish on Nokia.
    15 Jul 2012, 10:29 PM Reply Like
  • Mainspring
    , contributor
    Comments (6) | Send Message
     
    I just wrote this comment on my new Nokia Lumia 900 I got for free. (100.00) rebate
    15 Jul 2012, 10:41 PM Reply Like
  • catweasle
    , contributor
    Comment (1) | Send Message
     
    I am going to see what earnings are like before cutting them lose . In the meantime I am going to add some shares at $1.85
    15 Jul 2012, 10:42 PM Reply Like
  • seakingomega
    , contributor
    Comments (2) | Send Message
     
    I never thought I would buy a smartphone. I bought the 900 in March for $50, got the $100 and love it. All my family and friends have the Apple, they love theirs. The problem for the Nokia seems to be the marketing. If you have the 900 you love it. Why it hasn't been widely accepted...poor marketing! Nokia has built a superior product. Perhaps they have a second chance with the WP8 phone and will do a superior job of marketing it next time at bat, or its game over.
    15 Jul 2012, 11:07 PM Reply Like
  • Matthew Davis
    , contributor
    Comments (4170) | Send Message
     
    They only did a marketing campaign right at launch, after that I haven't see squat. Did anyone even know there was a huge launch party in Times Square with Niki Manaj? I was surprised to hear about that.
    15 Jul 2012, 11:50 PM Reply Like
  • J Mintzmyer
    , contributor
    Comments (3753) | Send Message
     
    Yeah- I only knew about the Times Square launch because of Nokia's website. They also had a party in London with a big techno DJ. Seems like they didn't push that hard overall though, probably because they found out about WP8 and MSFT. Best to save the big guns for the premiere phone.

     

    BB10 out of the way and Android already playing it's best (Galaxy S3), will give WP8 (with Lumia) the spotlight. Unless iP5 comes out with something massive, this will be a very very interesting season.
    15 Jul 2012, 11:54 PM Reply Like
  • pureview8
    , contributor
    Comments (226) | Send Message
     
    Microsoft alone plans to spend upwards of $500M to market Windows 8 and Windows Phone 8.

     

    http://bit.ly/SxvVTU

     

    Their partners will have their own marketing budget. We could be looking at a figure close to $1B in marketing for the 8 launch.
    15 Jul 2012, 11:57 PM Reply Like
  • J Mintzmyer
    , contributor
    Comments (3753) | Send Message
     
    No news. Lumia 900 was poorly timed right before WP8 release.

     

    WP8 will not fully support Lumia 900, so many people are hesitant at current prices.

     

    No surprise here-- lackluster continuing 900 sales were already priced-in-- move along folks.
    15 Jul 2012, 11:48 PM Reply Like
  • brianngaibh
    , contributor
    Comments (129) | Send Message
     
    i'm living in hong kong, the lumia 900 introduced in early june and i'm nearly one of the first batch buyers. when i saw this news about slashing price to half, my heart sank.
    after i gone thru above series of comments, i feel much better now.
    i like my lumia very much, it is an excellent toy for my connectivity, particularly the live tiles and people. my wife is using iphone3 32gb but much underperforms to lumia.
    i agreed with seakingomerga that nokia didn't do enough ads to it products. i talked tot the nokia sales manage, he told me their company has no money to spend on ads on tv and newspapers unlike samsung s3 amost one ads on each newspapers and few times of ads during tvs' golden hours aired in hong kong.
    the good news is that lumia will be surely upgradeable to 7.8. i was told by the manger that it is very close to win8 except one feature (can't remember) not enable.
    i think it would be the same thing that iphone3 can't be upgraded to 4/4s.
    i'm happy with my lumia900 and it can last for me at least another 3 yrs. i trust win8 phones will takeover iphone next year.
    16 Jul 2012, 12:59 PM Reply Like
  • Sam Liu
    , contributor
    Comments (3864) | Send Message
     
    that is a dream for us Msft share owners ...

     

    a distant dream that win 8 phones overtake IPhone.
    24 Jul 2012, 12:16 PM Reply Like
  • lydonis
    , contributor
    Comments (12) | Send Message
     
    I for one am surprised that the media has twisted the news of a Lumia 900 price drop as a bad thing. It's actually excellent news for consumers. If I hadn't gotten a Lumia 900 yet, I would now at this price. I agree with brianngaibh that lumia outperforms iphone. I would add that it vastly outperforms android. I have used android, ios and winphone 7.5 and have found that for the tasks I most commonly use (managing three email accounts, sms, outlook calendar, and word/excel/powerpoint documents) that I get more done on winphone 7.5 in less time, with fewer finger actions than the other two operating systems. With my Lumia 900, I actually use my smartphone less - it gives me a huge chunk of time in my life back that I used to devote to managing my mobile communications. In addition, the Lumia 900 comes with other value added apps, particularly nokia drive, which allowed me to get rid of my Garmin and not have to worry about data usage while getting driving directions. And, for those who think this is a huge unprecedented price drop, you are mistaken. I owned the HTC Thunderbolt, the first LTE phone on Verizon, which many proclaimed as a huge revolution in smartphones at the time. It was released at a $249.99 price point in March 2011, and by November, it could be had for between $0-$99.99. The HTC rezound, released at $299.99 dropped to $199.99 two months after being released. The media's hyperboles about a Lumia 900 price drop symbolizing large holes in the hull of the Titanic that is Nokia corporation simply is their way of generating pageviews, adclick revenue and feeding their starving families for this week by appealing to those interested in tech and investing the same way a car crash appeals to passers by. Those who are more levelheaded will see this news as an effort by nokia to sell more phones; good marketing, as a 50% price cut makes for nice advertising even though the absolute amount of $50 cut is small; and an indication that if the price is being halved now, it might then be offered for free in another 3 months time (October) which might be an indication of that time being timed with the release of a new product - likely their first windows phone 8 models.
    16 Jul 2012, 07:34 PM Reply Like
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