Nokia, the Finnish tech company that was once a leader in the mobile phone market, has undergone several rebranding efforts over the years. The latest rebrand was announced at the close of February 2023, as Nokia shifted its focus from consumer electronics and mobile phones to business-to-business (B2B) technology.
The latest rebrand has been accompanied by a restructuring of the company’s business, which now focuses on four key areas: mobile networks, enterprise, cloud and network services, and Nokia Technologies.
The new visual identity of the company features a simple and modern design, with a new typeface and a brighter shade of blue. The new brand promise of Nokia is “Together, we can create the technology to connect the world.”
So, why is Nokia rebranding?
The answer lies in the changing nature of the tech industry. Nokia faced stiff competition from other smartphone manufacturers, and its market share dwindled over time. The company decided to focus on B2B technology, where it could leverage its expertise in networking equipment and solutions to become a leader in the industry.
This is not the first time Nokia has rebranded. In the 1960s, the company merged with Finnish Cable Works and rebranded as Nokia Corporation. In the 1980s, Nokia shifted its focus from traditional industries to telecommunications and electronics and updated its logo to the iconic “connecting people” logo.
In 2011, Nokia partnered with Microsoft to adopt the Windows Phone platform for its smartphones and launched a new branding campaign called “Amazing Everyday.”
However, the latest rebranding effort is different. Nokia is now competing in a new line of business and faces significant challenges ahead. The company is competing with established players like Cisco and Ericsson in the B2B technology space. Moreover, Nokia’s business is dependent on a few large customers, and any loss of business from these customers could have a significant impact on the company’s revenue.
Despite the challenges, Nokia sees significant opportunities in the B2B technology space. The demand for networking equipment and solutions is growing rapidly, driven by the rise of cloud computing, the Internet of Things (IoT), and 5G technology. Nokia is well-positioned to capitalize on these trends, given its expertise in networking equipment and solutions.
Other phone brands that shifted focus
Many companies have decided to pivot to other business lines where they can leverage their expertise and experience to compete in other industries. There are several phone manufacturing companies that have shifted to other business lines in the recent past.
Here are some notable examples:
BlackBerry
BlackBerry was once a dominant player in the smartphone market, known for its signature physical keyboards and secure messaging system. However, the company struggled to keep up with the rise of touchscreen smartphones and eventually shifted its focus to enterprise software and security services.
Motorola
Motorola was once a leading mobile phone manufacturer, known for its popular Razr flip phone. However, the company struggled to compete with Apple and Samsung in the smartphone market and eventually sold its phone business to Lenovo. Motorola now focuses on producing mid-range and budget smartphones and developing technology for smart homes and vehicles.
HTC
HTC was once a major player in the Android smartphone market, known for its innovative designs and high-quality cameras. However, the company struggled to compete with Samsung and other smartphone manufacturers and eventually sold its phone business to Google. HTC now focuses on developing virtual reality technology and software.
LG
LG was once a major player in the smartphone market, known for its innovative designs and high-quality displays. However, the company struggled to compete with Samsung and other smartphone manufacturers and eventually announced that it would be exiting the smartphone market altogether. LG now focuses on producing appliances, TVs, and other electronics.
These companies’ shifts in focus reflect the competitive nature of the smartphone market and the challenges that phone manufacturers face in maintaining their market share.
