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HindustanTimes Thu,18 Dec 2014

Interviews-Business

‘Democratise smartphones’
Rachit Vats, Hindustan Times
July 28, 2010
First Published: 22:49 IST(28/7/2010)
Last Updated: 22:52 IST(28/7/2010)

Nokia saw its market share in India dip by 12 per cent in 2009-10, while emerging brands collectively captured 16 per cent. D. Shivakumar, VP and managing director, Nokia India told HT that they are filling product gaps, and the competition is feeling the heat. Excerpts:

How do you view the emergence of local players?
Competition is good both for consumers and industry. But the issue is of reliability, quality and innovation. Mobile industry is one of the quickest in terms of innovation cycles. While a lot of people come in, where is innovation? Price alone cannot be an innovation.

What led to the slippage?
We did not have a dual-SIM phone, low-cost touch-phone and low-cost memory phone. Nokia is filling these gaps and others are already feeling the heat. We are now looking to democratise smartphones, make the best technology available to the masses.

Do you see consolidation?
Hit and run tactics don’t work. There will be more players coming in but fundamentals of the business will prevail — scale, innovation, brands, after-sales service, applications.... I don’t see more than 5-6 players surviving. You don’t make money below a 20 per cent market share.

At least 5 players claim to have scale?
In my book that is not manufacturing... copying is not innovation.

Going forward?
At the top end the N8
will be a significant launch. Messaging will pick up across the board and we will further plug the gap in dual-SIM
segment.


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