For more than a decade Nokia ruled the mobile market as the worlds leading mobile phone maker. But the market has now become too strong and, with the likes of Samsung and Apple as competitors, Nokia never really stood much of a chance with their last attempt to take the market by storm. With the release of their new Lumia range the company will have been hoping to turn sales figures around. What happened was the opposite. They only dropped further and they found themselves with losses of 1.41 billion euros in the last three months, with smartphone sales falling 34% to 1.54 billion euros.
The company is experiencing 'greater than expected competitive challenges' said the chief executive of Nokia Stephen Elop.
Despite the drop in figures, Nokia did have sales of 4 million for their Lumia phones which have Microsoft software, but still had to half the price of their latest Lumia 900 phone at the beginning of the month. The US appears to be one of Nokia's biggest stumbling blocks, and their population are not taking as much of a shine to the devices as Nokia may have hoped. Out of the 4 million Lumia sales only 330,000 were from the US, and in total Nokia revealed that in Q2 2012 they only shipped a small 600,000 handsets in North America. This is lower than expected considering the influence America has in the mobile mark
Although these results seem bleak there is a 'glimmer of hope for Nokia' says Nick Dillion, analyst at Ovum. Despite their losses this last quarter, the sales of their Lumia phone doubled since the last quarter, and shares have gone up since the previous quarter as the figures released weren't as bad as some first feared. So although the figures are bleak, this is not necessarily the end for the once huge brand, Nokia.