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Nokia Corp. reported an increase in its Lumia smartphone shipments in the third quarter of 2013. The company’s smartphone sales have been increasing for two consecutive quarters now, but they are still way behind not only industry-leading Apple iPhone and Samsung Galaxy S, but even sales of Nokia Symbian-based smartphones a little more than two years ago.

During the third quarter of the year, Nokia sold 8.8 million Lumia-branded smartphones based on various versions of Microsoft Corp.’s Windows Phone platform. Shipments of Lumia-branded devices were up 19% quarter-over-quarter as well as 203% year-over-year. Nokia’s smartphone business was up 39.6% year-over-year, which is well below market trends. Average selling price of a Nokia smartphone was $143, a 9% decrease quarter-over-quarter and an 8% decrease from Q3 2013.

Mobile phones Q3 volumes increased 4% quarter-on-quarter to 55.8 million units from the previous quarter, but decreased 27% from 76.6 million units a year ago. ASP of a mobile phone was $27, up 1% sequentially and down 13% year-over-year.

The company is preparing itself to sell off devices division to Microsoft and is internally focusing on other businesses. As a result, it does not make a lot of sense to expect the firm to put a lot of efforts into significantly boosting its hardware business.

"Subject to the planned completion of the Microsoft transaction, Nokia will have three established businesses: NSN, HERE and Advanced Technologies. Our strategy work is making good progress and it has already become clear that there are meaningful opportunities for all of our business areas: NSN, HERE and advanced technologies. In all of these businesses, we have strong assets that we continue to invest in for the long term benefit of our customers and shareholders," said Risto Siilasmaa, chairman and interim chief executive of Nokia.

While sales of Nokia Lumia handsets are gradually improving, they are still too low to consider Windows Phone a successful mobile platform. Life-to-date sales of Lumia-branded devices has just crossed 36.1 million units, which is barely higher than the number of smartphones Apple sold in the Q3 of 2013.

Another alarming thing for Nokia is decreasing average selling price of its smartphones. This indicates that the demand for the products remains to be slow, which is why the company needs to stimulate end-users to actually get them.

Tags: Nokia, Lumia, Microsoft, Windows Phone, Windows Phone 8, Apple, iPhone, iOS, Google, Android

Discussion

Comments currently: 2
Discussion started: 10/31/13 03:15:58 AM
Latest comment: 10/31/13 03:01:16 PM

[1-2]

1. 
Lets be realistic, cut out the Symbian figures and base it only on W8 systems compared to IOS.
Then compare sales figures over the same manufacturing period.
I'm sure the figures wont be as big a difference then.
1 0 [Posted by: caring1  | Date: 10/31/13 03:15:58 AM]
Reply

2. 
show the post
0 4 [Posted by: JanGozi  | Date: 10/31/13 03:01:16 PM]
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