Low cost Nokias could leak into mature markets says Ovum

ALTHOUGH FOUR new handsets just released by Nokia are blatantly aimed at emerging markets, they could find their way into mature markets, according to Martin Garner, director of wireless intelligence with Ovum.

He revealed that the handsets should become available on a global basis.

"This should be good news for helping operators in mature markets to encourage low-spending users to replace their phone and - hopefully - start using more advanced services."

Because the four new phones are based on Nokia's Series 40 phone OS, this paves the way for a range of data and Internet services for entry level users.

Nokia recently announced its push into internet services with Ovi but this isn't what the new handsets are designed for.

The handsets are supplied with an email client that currently only works with Webmail International in South Africa. The aim is to provide messaging to people who've never seen email on a PC.

Nokia is working on the basis that there is pent up demand for internet access in emerging markets where fixed line internet is almost non-existent.

To keep costs down, Nokia has cut some corners. For example, the $78 Nokia 7070 Prism clamshell dispenses with a second screen – which is a standard fitment in mature markets.

Also priced at $78 is the Nokia 1680 candybar cameraphone. The most expe nsive of the lt, the $140 Nokia 500 is a cut down version of its Xpress Music phone.

If Nokia's hunch is right and enhanced handsets sell in emerging markets, other vendors such as Sony Ericsson might be tempted to follow suit. µ