Once the handset of choice, Finnish mobile phone giant Nokia have announced a 40% slump in second quarter profits compared to last year. Although still reflecting a health £191 million for the three months ending in June, the company has also warned it is unlikely to meet its previous financial forecasts.
Much of that decline is being put down to the success of new entrants into the mobile market of technology giants Apple and Google. The Apple iPhone operating system and Google’s Android have revolutionised the way people use their mobile phones and with the majority of Nokia handsets running the older Symbian operating system. Whilst technically, the majority of its latest handsets are Smartphones, Nokia’s reliance on Symbian has seen it fall behind other handset manufacturers with developers shunning the operating system to focus on the growing App market for iPhone and Android.
Consistently one of Europe’s most valuable brands, it appears that Nokia may fast be becoming a dying star and an example of the need to stay in touch with trends and adjust your business accordingly, however good and big you are.