Nokia to offer many new phone models in U.S.

Nokia Oyj (NOK1V.HE: Quote, Profile, Research) will introduce many new phone models through U.S. carriers in coming months to grab a bigger share of the lucrative cellphone market, the Finnish phone maker said on Monday.

Nokia sells 40 percent of all phones sold globally, but in the United States its share has slumped as the Finnish group ended its own production of phones using CDMA technology, popular in the United States.

Nokia has increased its focus on the U.S. market under Chief Executive Olli-Pekka Kallasvuo, who took over from long-term chief Jorma Ollila in 2006 and committed to spend on average a week each month in North America.

Finnish daily Helsingin Sanomat quoted Nokia's chief designer as saying design cooperation with U.S. operators will soon bear fruit.

"In the next few months (U.S.) operators will carry a lot of new products from us," Alastair Curtis told the paper.

A Nokia spokesman said the company would introduce a number of new models in the United States this year -- including CDMA phones, models tailored for the U.S. carriers and phones sold globally.

Nokia has signed deals with smaller handset design and manufacturing houses to produce CDMA phones which would be sold under the Nokia brand.

In North America, Nokia's market share has collapsed from 20 percent to 7 percent over the past two years, according to research firm Strategy Analytics, who also cited a poor offering of phones with a folding or clamshell design in Nokia's portfolio.

Nokia dominates the handset market in emerging markets and among cheaper phones, but it has faced increasing competition from the likes of Samsung Electronics (005930.KS: Quote, Profile, Research) and LG Electronics (066570.KS: Quote, Profile, Research) in more developed markets.

"When Nokia fixes the U.S. issue that will be the most important driver to increase global market share," said eQ Bank analyst Jari Honko.

Shares in Nokia were 1.8 percent lower at 19.10 euros by 1401 GMT, compared with a 1.3 percent drop in the DJ Stoxx European technology shares index .

source : http://www.reuters.com/