Nokia Mobility Conference 2003
Soren Peterson, the General Manager of Nokia's CDMA Business Unit, gave a very candid and informative presentation on the past, present, and future of Nokia's CDMA business. He talked about some of the problems Nokia had in the past, how they are addressing them, and what lies ahead.
First, the history: In 2000, Nokia realized that it had made a big mistake: it had seriously underestimated the resources necessary to build a successful CDMA business. To correct the mistake, they not only hired hundreds of additional employees, they also decicided to take a step back and re-build their CDMA technology platform from the ground up. At present, Nokia is about 60% of the way through its rebuilding plan.
The first step was rebuilding their core technology. They went back to the drawing board on chipsets and other critical components. Previously, they had used antennas designed for GSM phones on their CDMA models - a tactic then eventually proved unsuccessful. So CDMA-specific antenna design was a key area of focus during this period.
Next, in 2002, the focus was on bringing a few basic products to market using the new platform, and starting to rebuild carrier relationships.
In 2003, the company has continued to focus on carrier relationships, while starting to expand its portfolio with lower- and higher-end phones. In reaching out to carriers, the company has taken then unusual approach (for Nokia) of embracing closed and proprietary technologies. Still a strong proponent of the open approach, Nokia sees these technologies as a sort of "necessary evil" of doing business with CDMA carriers. For example, Nokia recently launched its first BREW phone - the 3589i for Verizon - and the company is working closely with Sprint to launch phones supporting Sprint's full suite of "PCS Vision" services.
In 2004, the emphasis will be on futher expanding its portfolio. By the end of the year, the company will have a full range of 8-12 CDMA phones, including Symbian-based smartphones. Peterson also hinted that the range would include a megapixel camera phone, and more than one clamshell model.
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