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The price war in the entry-level smart phone mobile market is set to intensify. In a bid to take on increasing competition from cheaper Android-powered phones, Nokia CEO Stephen Elop will be in India on Thursday to unveil a new series of Asha phones, its entry-level feature and smart phone range.
Elop's India visit gains added significance coming just couple of days after attending an AGM of the Finnish phone maker at Helsinki where he was attacked by shareholders over sales not gaining enough traction to take on competition from Samsung and Android-based phones. Analysts also raised concerns over sagging sales of Nokia’s feature phone series, Asha. In the AGM Elop confirmed that he would be in India on Thursday to launch a new series of Asha phones.
Many analysts feel Nokia’s best bet is to strengthen its range of high-end Asha handsets to take on competition cheaper Android-powered phones in the emerging markets. Nokia’s high end Asha series comes in the price range of Rs 3,000-5,500, comparable to entry-level Android-powered smart phones by Indian handset players like Micromax and Karbonn, and some other Chinese manufacturers.
Elop has defended Nokia strategy of sticking with Microsoft’ s Windows software for its smartphone series. The strategy has been to push the price point of Lumia series of handsets to sub-Rs 10,000-level in India. The new high-end Asha range are expected to ward off competition as Nokia prepares the ground for faster roll out of its new range of budget Lumia handsets. Globally Samsung and Apple have been leading the march in the smart phone category.
