Is this phone music to your ears? |
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It might have taken more than a year since the release of the hugely successful iPhone, but NokiaNokia
believes the imminent launch of its new touch-screen phone has come at the right place and the right time. The Finnish company, which commands 40 per cent of the global mobile phone market, has so far stuck with traditional screens even as rivals LG ElectronicsLG Electronics
, Samsung ElectronicsSamsung Electronics and smaller handset-makers rolled out their own versions of touch-screen phones over the past two years."We have chosen some important markets where we believe the launch will be extremely good and the markets extremely receptive," says Christophe Corsi, the head of the Live Category at Nokia Middle EastNokia Middle East
. "We are launching now because we believe the timing is right for this kind of product."Consumers in the UAE, along with India, Indonesia, Hong Kong, Taiwan, Russia and Spain, will be the first to get their hands on the Nokia 5800 XpressMusic, dubbed by many as the 'iPhone killer', when it is officially released in December this year.
Although tight-lipped about the exact launch date, Corsi stresses the choice of these countries as launch pads bears no relation to the fact they are markets where the iPhone has not made much headway - dogged by operational hurdles or, in the case of India, extremely high device costs.
"The choice of the market is deliberate but we were not taking into account that other products were not launching in these markets," he says.
In the UAE, the phone's release ties is with the launch of the Nokia Music Store, an online store that will allow the purchase of music directly on a mobile device or via a PC [see box], he explains. The online store, also scheduled for a December opening, is set to change the way people in the UAE integrate with their devices and download music, says Corsi.
"It's a perfect coexistence which will give consumers here access to hundreds of new services and music. Then of course it will cascade down to the rest of the markets across the Middle East immediately afterwards."
Despite Corsi's denial, NokiaNokia
is surely on a warpath, and well on its way to challenge Apple's dominance in one segment of the mobile phone industry and of the digital music market. Last week, NokiaNokia
President and CEO Olli-Pekka Kallasvuo said at a speakers' forum in the US: "Suddenly you have the mightiest companies in the world there as your competitors. That is a little mind-boggling."The chief executive then singled out Apple for bringing about a "positive impact" on the mobile phone industry and that it had done everyone in the industry "a big favour".
"We have a new, credible competitor in this business. You know I need to take my hat off," he said of how the iPhone had raised expectations for phones. Then he added: "Of course we need to be able to respond to any competitor and we will."
If the 5800 XpressMusic, expected to retail at about Dh1,500, will challenge the iPhone's dominance especially in emerging markets, Apple's reign on more than half of the global digital music sales could seriously be threatened with the launch of the Comes With Music service, NokiaNokia
's free music bundle offer.Kickstarting in the UK - the world's third largest music market - as early as next week and initially available on two phone models, the package will differ from others in the market since users can keep all the music they have downloaded during the subscription period of 12 or 18 months.
There are no charges for tracks downloaded as the cost is bundled to the phone price.
But it is not just NokiaNokia
that is looking for dominance in the touch phones arena. The release on October 22 of Google's widely anticipated G1 phone in the US by T-Mobile is bound to shake up the world of smartphones, pushing the appeal of internet use on the move.Set to retail at about $179 (Dh658) - slightly cheaper than the entry-level price of $199 for Apple's iPhone - with a two-year contract, the G1 will be launched by T-Mobile's UK unit in November and other European countries such as Germany, the Netherlands and the Czech Republic in the first quarter of 2009.
The new phone features Android Market, where customers can find and download free applications to expand and personalise their phones, with officials saying the marketplace would eventually include applications that are sold for a fee.
Here too, a lot of emphasis is on music. The G1 comes loaded with Amazon.com's digital music store, allowing users to search, download, buy and play more than six million songs, pitting it against iPhone's music player and NokiaNokia
's Comes With Music bundle.Canada-based Research in Motion (RIM), makers of the hugely successful BlackBerry phones, released their touch phone Storm on Wednesday, to be rolled out later this year in the US, Europe, India, Australia and New Zealand.
But for Nokia Middle EastNokia Middle East
's Corsi, the focus is really on bringing the touch device to the masses. "The growth markets of the Middle East and China and India are extremely important for NokiaNokia and we make sure they are always taken into account in the development of our products," he says."With our affordable price and fantastic product, we hope the reception will be great. We are very excited about it."
Kylie concert
To mark the launch of the Nokia Music Store in the UAE, the company is sponsoring Kylie Minogue's concert at Dubai Festival City on November 21, as part of the Australian singer's X2008 tour.
The event will be Kylie's first show in the Middle East in a career spanning more than 20 years. As part of this sponsorship, NokiaNokia
will be conducting an online competition offering tickets and other prizes. Details of the competition, including its starting date, will be declared in the coming weeks. See Emirates Business for details.A la carte music
This December, as NokiaNokia
opens its first official online music store in the Middle East starting with the UAE, the person heading the charge at the Finnish company's regional office is confident it will change the way consumers here use their mobile phones for ever. "This is one of the first full track downloadable services in the region," says Ayman Chalhoub, Business Manager, Music, Nokia Middle EastNokia Middle East
and Africa. "This is a platform where users can legally download music, find new songs and create an integrated experience with our devices. We consider this the next media platform and is perfectly in line with our strategy to move into internet business."The website, www.music.nokia.ae, is NokiaNokia
's 12th globally, with music provided by all major international and regional labels including Universal, Sony BMG, Warner, EMI, and Rotana, as well as thousands of independent labels. "The UAE is a melting pot. This is why we have ensured that we are offering a diverse collection of music that suits people's different tastes covering Arabic, Bollywood and international music," says Chalhoub. "Music, by nature, is ever-evolving, and as new music comes out, we will be continuously adding and updating our catalogue."
The online store's launch will coincide with the release of the highly anticipated Nokia 5800 XpressMusic in the UAE, the company's answer to Apple's massively successful iPhone. "It's all about discovery, it's all about ease of use," Chalhoub says.
By David Tusing
© Emirates Business 24/7 2008
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