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Nokia Makes Surprise Move Into Netbooks
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Monday, 24 August 2009
By Mel Duvall
Nokia has announced that it will soon begin selling a netbook computer, representing a surprise move into the consumer PC market for the Finnish cell phone manufacturer.
The company, which has focused on the mobile device market for the last 25 years, says netbooks are a natural extension of the desire to have richer Internet experiences while on the move. "A growing number of people want the computing power of a PC with the full benefits of mobility," Nokia's executive vice president for devices, Kai Oistamo, said in announcing the product.
"We are in the business of connecting people and the Nokia Booklet 3G is a natural evolution for us," he said.
Nokia, which has been struggling to compete against smartphone makers Apple and Research In Motion, will now pit itself against much larger competitors in the PC industry, which is known for its razor-thin margins.
But at the same time, several traditional PC manufacturers have announced they are moving into the smartphone business, indicating that the convergence of smartphones and PCs is accelerating. Reports surfaced last week that Dell was about to take the wraps off a smartphone aimed at the Chinese market, and earlier this year Acer, the third largest PC maker, launched its first lineup of smartphones.
The market for netbooks has been one of the few bright spots in the PC industry during the global recession. Research firm IDC forecasts netbook shipments would grow more than 127 percent in 2009, to about 26 million units. By contrast, the PC market has been flat and the mobile phone market is expected to decline by about 10 percent.
The Nokia Booklet 3G will run Microsoft's Windows software and feature up to 12 hours of battery life. The device weighs in at 2.8 lbs and has a 10-inch glass display. Not surprisingly, Nokia is playing up the device's connectivity features, saying it will come equipped with 3G/HSPA and Wi-Fi. The device will also integrate with Nokia's Ovi initiative, an online application store similar to the one offered by Apple. Working with the Ovi Maps application, for example, Nokia says the device will be able to pinpoint your location.
Nokia says further details about the device, including pricing and availability, will be announced at Nokia World on September 2.
Comments (1)
1. 08-24-2009 22:53
This seems a savvy move by Nokia to meet the competition, although it's unlikely to be an easy road. It will be interesting to see which version of Windows 7 this device ships with - Starter Edition or Home Premium.
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