How on earth can Nokia sell a mobile phone for 20 euros? / 04.11.2009 04:53
In principle, there are two ways to succeed in the mobile phone industry. You can design an attractive phone with all the features technology allows. Apple's iPhone that only wealthy people can buy is an example of this approach. The other way is to make dirt-cheap phones that practically anyone, even in remote villages can buy. The trick is to cut manufacturing costs so low that you can make a profit even when selling a phone for 20 euros. That's what Nokia has done.
The Nokia 1280 is a no-frills mobile phone that can do what a mobile originally was set to do; phone calls and text messages. The phone has been designed to be shared among family members or friends. Usually, a mobile phone is a personal device because you may have sensitive contacts and messages on your phone. The Nokia 1280 comes with five separate contact databases, so that people sharing the phone don't see each other's sensitive data.
The robust body of the Nokia 1280 is a feature that would be valuable in any phone. The 1280 is dust and scratch resistant. Small black-and-white screen doesn't waste battery power, making battery life exceptional; 8.5 hours of talk time and 22 days of standby time. Why not talk through your working hours. The phone also has a torch at the top end of the body. Built-in FM radio provides entertainment even in remote areas. All this for about 20 euros (before taxes and subsidies).
The 1280 isn't the only new Nokia phone targeted at the low-cost market. The Nokia 1616 has a small color screen but all and all, it has pretty similar features as the 1280. Nokia expects the price for the 1616 to be 24 euros.
The Nokia 1800 has slightly larger color screen and similar features with the other two. The list price for the 1800 is expected to be 26 euros.
When compared with the 1280, 1616, and 1800, the 2220 Slide and 2690 are relatively pricey. Both products come with email capability. The preinstalled Ovi Mail service lets the phone owner create an email account from the phone, without having to use a PC at all. The Nokia 2220 Slide and 2690 also have 0.3 megapixel camera and MMS for sending photos to friends. Bluetooth is available as well. The Nokia 2220 Slide is priced at 45 euros.
The Nokia 2690 is priced at 54 euros before taxes and subsidies.
One more thing. If you are looking for the cheapest mobile phone that works as advertised, the 1280 is it (at the moment). Not even the cheapest Chinese manufacturers can produce a working phone at lower cost than Nokia. The low-cost phones are intended for Indonesia, but it maybe difficult to lock them in one country only.
How on earth can Nokia sell a mobile phone for 20 euros? / 04.11.2009 04:53
In principle, there are two ways to succeed in the mobile phone industry. You can design an attractive phone with all the features technology allows. Apple's iPhone that only wealthy people can buy is an example of this approach. The other way is to make dirt-cheap phones that practically anyone, even in remote villages can buy. The trick is to cut manufacturing costs so low that you can make a profit even when selling a phone for 20 euros. That's what Nokia has done.
The Nokia 1280 is a no-frills mobile phone that can do what a mobile originally was set to do; phone calls and text messages. The phone has been designed to be shared among family members or friends. Usually, a mobile phone is a personal device because you may have sensitive contacts and messages on your phone. The Nokia 1280 comes with five separate contact databases, so that people sharing the phone don't see each other's sensitive data.
The robust body of the Nokia 1280 is a feature that would be valuable in any phone. The 1280 is dust and scratch resistant. Small black-and-white screen doesn't waste battery power, making battery life exceptional; 8.5 hours of talk time and 22 days of standby time. Why not talk through your working hours. The phone also has a torch at the top end of the body. Built-in FM radio provides entertainment even in remote areas. All this for about 20 euros (before taxes and subsidies).
The 1280 isn't the only new Nokia phone targeted at the low-cost market. The Nokia 1616 has a small color screen but all and all, it has pretty similar features as the 1280. Nokia expects the price for the 1616 to be 24 euros.
The Nokia 1800 has slightly larger color screen and similar features with the other two. The list price for the 1800 is expected to be 26 euros.
When compared with the 1280, 1616, and 1800, the 2220 Slide and 2690 are relatively pricey. Both products come with email capability. The preinstalled Ovi Mail service lets the phone owner create an email account from the phone, without having to use a PC at all. The Nokia 2220 Slide and 2690 also have 0.3 megapixel camera and MMS for sending photos to friends. Bluetooth is available as well. The Nokia 2220 Slide is priced at 45 euros.
The Nokia 2690 is priced at 54 euros before taxes and subsidies.
One more thing. If you are looking for the cheapest mobile phone that works as advertised, the 1280 is it (at the moment). Not even the cheapest Chinese manufacturers can produce a working phone at lower cost than Nokia. The low-cost phones are intended for Indonesia, but it maybe difficult to lock them in one country only.