Nokia losing might? Announces sharp fall in Q1 results

Nokia announced its third profit fall in a row starting off to a weak 2011, sources reported. Like other manufacturers it lost out to the extremely popular smartphones market.

The world’s top cell phone maker by volumes said that its Q1 operating profit margins would drop 7-10%, in the 3 month period starting from January ,where in the last quarter it stood at 11.3%; analysts expected atleast a 10.2 % from Nokia this first quarter, sources added.

The mobile phone market revived from a global downturn in 2009 when demand for devices depreciated to a huge extent; with the arrival of smartphones like iPhone 4 and Samsung Galaxy the mobile industry resurfaced. Implying that, Nokia hasn’t been able take advantage of the revival neither has it come up with anything new after its N95, to compete with the mighty smart Apple iPhone.

The most threatening factor for Nokia is its dwindling sales of non-smartphones which saw a sharp 10% fall last quarter, when the overall market for mobile devices was on an upheaval.