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As Motorola Stumbles, Nokia Quietly Recaptures U.S. Share

Instead of flashy advertising campaigns or a quick burst of new products, Nokia is making mostly behind-the-scenes changes to recover the early lead it had in the U.S. cell phone market, where it was the largest device maker in the late 1990s. It is cooperating with the large carriers such as AT&T that control how most phones are sold to customers in the U.S., and has started designing phones specifically for North America.

A major hurdle for Nokia in the U.S. is that about half the handsets sold here use a wireless standard that isn't widely used elsewhere. Nokia typically hasn't gone to such great lengths to woo U.S. service providers, who sell phones as part of a package with a contract. Mark Louison, Nokia's North American head, is trying to convince the major carriers that Nokia has a more accommodating attitude, but admits they'll be skeptical "until we really start delivering."

Nokia has a 40% market share globally, but it has only about a 10% share in the U.S., the world's largest wireless market. To help raise its image here, Nokia has opened flagship stores in key shopping destinations, sponsored concert halls, and advertised on billboards to promote its high-end phones.

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Read the whole story at The Wall Street Journal »

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