Nokia introduces three new low-cost phones

Nokia unveiled three new low-cost handsets, including its cheapest 3G-capable phone. The phone, the new 2730 Classic, will sell for about $108, excluding carrier subsidies and taxes, and is expected to be launched in the third quarter.

[1]The 2730 has a 2-inch QVGA display, 2-megapixel camera, Bluetooth and an FM tuner. Nokia also released two new flip phones, the 7020 and the 2720 models. The 7020 will ship in the fourth quarter for about $122 before taxes and subsidies, and the 2720 will ship in the third quarter for about $74.

The low-cost 2730 could help bring inexpensive 3G to developing markets, but could also affect Nokia's margins, according to analysts quoted by Reuters. Nokia's first quarter profit dropped by 90 percent and sales fell 27 percent. The company shipped 93.2 million devices in the quarter, down sequentially from the 113.1 million units it shipped in the fourth quarter of 2008 and down 19 percent from the 115 million it sold in the year-ago quarter.    

For more:
- see this Reuters article [2]
- see this release [3]

Related Articles:
Cincinnati Bell nabs much-hyped Nokia 5800 touchscreen phone [4]
Nokia sees Q1 profit drop 90%, reaffirms handset forecast [5]
Nokia [6] suspends use of subcontractors for manufacturing
Nokia [7] cutting 1,700 jobs
Report: Nokia's smartphone market share [8] dropping
[9]