Reasons Why Nokia Failed So Drastically


Nokia considered as telecommunication and consumer electronics company which established in 1865 in Finland which operates in 100 countries with total annual revenue of around 23 billion pounds. Nokia mainly contributed and spread itself in the mobile communication field with its assisted development of GSM,3G and currently in LTE (4G and 5G). Nokia’s brand value is still tough to replace throughout the years while entering of biggest dominating android or smartphones companies from South Kore and China. Nokia’s first phone introduced as the first car phone named as Nokia Mobira Senator which weight being recorded as 10 kg in 1982. In 1984, Nokia introduced Nokia Mobira Talkman which being the first transportable phone and much easy to access than its previous Senator version. In 1987, Nokia comes with Mobira Cityman that is easy to access and light in weight compared to its previous heavy lifted mobile devices. In 1992, Nokia revolutionize the telecom industry with impeccable 1011 handset which fully covered all the Europe and US markets. Selling 250 million handsets till 1999, Nokia becomes the largest telecommunication industry by beating Motorola.

Increase in Manpower/laboring,manufacturing set-up and global brand presence are the significant factors that build up Nokia strongly in the 90s and early 2000s era. Early 2000s era shows the growth or says cut-throat competition being created by other telecom industries like Samsung, VIVO, OPPO and Intex, etc which creates hysteria among the telecom industry and everyone needs to get the major shares in the market. Then the post-2000s era shows drastically failure of Nokia industry. Listed below we conclude

Some major points of Nokia’s failure in a detail

1. Thin Manufacturing Planning System

Nokia has always been a brand trusting source when comes to mobile phones till arriving of other telecom companies in the post 2000s decade. In early 2008 Nokia sells 4.5 billion handsets which conclude the growth that next to impossible to beat but later years when Google and Android system arrive in markets they build the eager anticipation among the mobile users of western countries with their latest and far most better technology compared to Nokia handsets which are lack of providing the latest features due to the bulkiness of Nokia industry in particular field, Nokia being so huge at that era, now its impossible to Nokia to change its core and shifted fastly to android and Google technology. Beside Asian markets, the USA and Europe markets are highly affected by android’s devices and Nokia drastically down at 30-40% shares in telecom market. Later on, Asian markets highly affected with Samsung and Motorola that covers the shares which previously done by Nokia and from this point Nokia lost all its major mobile markets.

2. Rise of Software Era and End of Hardware

Late 2010s era is full of android mobiles which basically generated millions of apps till then. Nokia on the other hand still regulates with its older operating system named Symbian which basically lacks creating new apps that attract the customers. About 20,000 apps which are operated in Nokia handset is nowhere near to the millions of smart apps created by Android in a limited period. Google linked with android and give chance to other telecom companies to generate millions of apps from it without being creating or spending billions in application creation. All companies shifted to focus on their devices design, appearance, and display screen, etc and another hand Google created millions of amazingly impressive apps which they sold one by one to each associative partners i.e android mobile companies. Nokia being attached to Symbian cost them in a bad way and they out of market race suddenly in 2010.

3. Dream to Create Monopoly with Different Thinking

Nokia hired new CEO Stephen Elop whose ideas being the last reason for changing the fate of Nokia but in a negative way. Stephen left Symbian operating system and then wants to join other competitive telecom mobile companies by linking with Google for applications. But soon he left the idea and join the Microsoft company for applications creators. Microsoft operates in the Windows operating system which is nowhere work smoothly in Mobile devices and later on, this idea decided the fate of ahead dark future of Nokia. Google and Android fully capture the prestigious telecom market and Nokia’s brand value faded in the post-2000s era.

Verdicts for Reasons Why Nokia Failed So Drastically

Nokia needs to reinvest their whole powers in the creative building of some strong software and hardware features that could counter the competition. The Android OS should be modified and installed in the devices or any preferable software must be made by the company. It needs a great investment of money as well as teamwork to create an awesome outcome and Nokia has somewhere failed in doing both. Let’s see whether if this past popular giant could come back and provide amazing smartphone devices to the world. Liked this article? Stay connected with our site to read more updated articles like it. Thanks for reading on Tricksdock, keep on sharing to help us grow.

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