Nokia Can’t Catch A Break: European Carriers Say New Lumia Is “Not Good Enough”

Reuters reported this morning that four major European mobile carriers remain unconvinced by Nokia’s competitive resurgence into the smartphone marketplace. According to the article, the European telecom operators are disappointed with the Nokia Lumia 900, declaring the device “not good enough to compete with Apple’s iPhone or Samsung’s Galaxy phones.”

In the U.S., Nokia only accounts for 1% of the smartphone market. As we reported last week, Nokia’s Lumia 900 was selling well with most mobile carriers. On Amazon.com, the phone was even listed in the top rated section. Still, it doesn’t appear to be enough to rescue the company from dismal failure; the phone does have its flaws.

Those critical of the phone have complained that it is too expensive for what little ingenuity it provides. That, coupled with the early battery and software issues, are reasons why most have turned away from Lumia 900. However, its most substantial underlying problem has to do with its Windows Phone Software.

Nokia made a poor decision (seems so now) in choosing the Windows Phone Software for its flagship device’s operating system. If you read the Reuters report, it’s clear that no one is attacking Nokia directly, but merely pointing out shortcomings in the company’s decision-making process.

“”no one comes into the store and asks for a Windows Phone,” says one European Telecom executive. “Nokia have given themselves a double challenge: to restore their credibility in terms of making hardware smartphones and succeed with the Microsoft Windows operating system, which lags in the market.”

Moody’s has already dropped the company’s credit rating to just one rank above ‘junk.’ This news came directly after Nokia hinted at some disappointing financials for their recent quarter, resulting in a one-day 17% stock price crash.

It’s hard to see Nokia crumble like this, especially when there’s not much we can see on the horizon. They’ll have to carry out some remarkable changes to bring this company back to life.

Trackbacks/Pingbacks

  1. Windows Phone Will Be Getting Upgrade, Wait…No They Won’t | WholeLottaWonder! - April 18, 2012

    […] seems to be encountering a ton of problems lately. Adding to the mess, this will no doubt drive Nokia down deeper into the ground. Purchasers of Nokia’s Lumia 900 were counting on being able to upgrade their Windows […]

  2. Microsoft Shatters Earnings Expectations | WholeLottaWonder! - April 20, 2012

    […] The company is falling behind in the smartphone marketplace. Nokia is in a dire crisis, and is betting on Microsoft’s newest smartphone operating system to really do well. Peter Klein, the company’s CFO said that, “We are pleased with our Nokia partnership, and the pace of innovation across devices.” This is unexpected considering Nokia’s epic struggle to stay alive. […]

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