LOSS-MAKING Nokia has slashed prices of its older smartphone models using Microsoft Windows software, industry sources said yesterday, a day after investors gave its latest Lumia phones a rapid thumbs-down.
Two industry source said the Finnish group, which is struggling to recoup ground lost to its rivals, cut the price of its mid-range Lumia 800 Windows Phone by about 15 per cent this week and made smaller reductions on other Windows models.
Nokia shares continued falling yesterday after slumping 13 per cent on Wednesday as the firm unveiled two new Windows Phone models in what may be the last major shot at reclaiming market share lost to Apple, Samsung and Google. Nokia did not disclose the price or roll-out dates of the new models and its share fell a further 5.3 per cent to €1.88 before recovering slightly.
The company did not officially confirm the price cuts but said such steps were a normal part of its business. The lower prices will hurt Nokia’s bottom line, particularly in September and October as analysts expect the new models to begin contributing to results only the following month. – (Reuters)
