The Lumia 925: Nokia’s New Plan In the Smartphone Game

Nokia (NYSE:NOK) was once the dominant cell phone manufacturer in the world but its very slow switch to a modern operating system to support its sturdy hardware has left it hurting. The company partnered with Microsoft (NASDAQ:MSFT) to produce the Lumia series of smartphones, and the phones have been heralded a success by those who purchased them. Instead of going for the obvious choice — Google’s (NASDAQ:GOOG) Android operating system — Nokia decided on Microsoft’s always just-hanging-on Windows Phone operating system. Why? Differentiating itself from competitors like Apple (NASDAQ:APPL) and Samsung (SSNLF.PK) is essential if the company is to have a chance at becoming a key player in the phone market again.

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The company’s most recent smartphone announcement is the Lumia 925. A specific release date has not yet been announced for the phone but it will be the company’s flagship offering and T-Mobile USA (TMUS) has already been announced as a release partner. While the Lumia 925 is not a huge change over previous models, it is thinner and comes in an aluminum fame. Nokia generally produces solid hardware and the Lumia 925 is no exception. Without a carrier subsidy, the phone is expected to cost roughly $600 after it is launched in June, according to Engadget.

Nokia Lumia 925 Specifications

  • Aluminum frame
  • 16 or 32 GB of storage, depending on model
  • Dual-core 1.5 GHz Snapdragon S4 Pro processors
  • 1 GB of RAM
  • 8.7 megapixel OIS camera
  • 4.5 inch AMOLED screen (1,280 x 768 pixels)
  • 8.8 mm profile

Microsoft and Nokia’s futures in the smartphone market are tied to the success of the Lumia series. Microsoft’s strength is software, and Nokia’s strength is hardware. Ostensibly, they are the perfect match. Unfortunately, Microsoft has never hit a home run in the phone market, and Nokia’s best days are hard to see in the distance behind it. Though if Microsoft can figure out how to create a viable app ecosystem on its PC, tablet, and smartphone operating systems, Nokia could very well profit.

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Nokia’s stock price has fallen greatly over the past give years as the graph below shows.


Image courtesy of Yahoo! Finance

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