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Why Nokia’s return to smartphones is not as insane as it sounds

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Betty Saliba
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Just a few years ago, Finland s once-mighty Nokia couldn t wait to unload its dying smartphone business to Microsoft.Microsoft needed a Hail Mary pass to jumpstart its Windows Mobile platform.

It was a tough decision for Nokia, a company that had been king of mobile handsets a decade earlier.And so, at first glance, it would seem absurd that suddenly Nokia wants to build a smartphone business from scratch.But times have changed.

And so has Nokia.Having shed handsets, Nokia pivoted to focus on telecom and communications equipment.

It doubled down by acquiring France s Alcatel, which will give it a broader focus on connected objects and networks.

The ability to make cheap, $50 Android phones has given rise to all sorts of regional smartphone players who can offer handsets with decent quality and not too much turnaround time.Many of these phones are aimed at people who are graduating from feature phones to their first smartphone.

And its costly manufacturing operations will now be in the hands of a Foxconn subsidiary, as part of the Microsoft deal.Nobody should expect Nokia to become No.

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Betty Saliba
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