Thursday, December 02, 2010

Why Nokia is so paranoid?

Nokia is all over the place with great push for their ovi store. They are in malls, in conferences and in start-up events. They are extending their distribution channel for app developer to connect their customer with their apps.

What is in an mobile phone app that Nokia is losing its sleep over?

It looks like market share. New India based mobile manufactures have gathered significant marketshare in last couple of years. With companies like Spice,Micromax,Lava and Videocon in the fray.

It could be Android too. The adaption of android development environment by developers across Asia and world is one such sign.

Second could be price point of touch based devices. Nokia has lowered one of their best offering to about Rs.7k. Other day @mayanks mentioned that he now he has bought the device where will he find the apps. All the fun apps are either on iphone or android.

Another could be deployment of 3G. 3G will go hand in hand with smart phones. Interestingly the package offering of Android with new Indian phone manufactures at a price point affordable to most Indians will execute law of diminishing returns to players like Nokia.

Thank you Vijay Prahallad for the title of this blog.
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