The $25 phone that Microsoft will release is aimed at first time users or non-techie users. These users can be very young kids or beginners. This can also be targeted to consumers whose idea of phones is traditional and basic, and never give a hoot on other features or apps such as camera or games, other than making and taking calls.
The announcement came in after Microsoft bought Nokia's devices and services division early this year. Nokia used to dominate the world's mobile phone industry years ago.
According to Jo Harlow, Microsoft's corporate vice president for phones, "at least 1 billion people in the world still do not have a mobile phone." They come from India, China and Nigeria, countries they have initially targeted to invade at third quarter of this year. Other third world countries might be next in the list, although the sales pitch avoided mentioning the marginalized lot who couldn't afford pricey phones.
The Nokia 130 has 1.8 inch screen. One or two SIM cards can be inserted in it and with USB charging. Battery life reaches more than a month of standby time and with Bluetooth capabilities. It has music and video, and torch features. Unfortunately, it cannot access internet nor have apps.
Sales of low-end phones such as Nokia 130 are expected to reach 1.1 billion come 2018, says information company group, IHS. Nokia's re-emergence in the market via affordable phone is to regain its hold in the mobile phone industry it once dominated long time ago. At present, there are no global players in the cheap phone category offering additional features like music and torch.
Microsoft believes in the power of recall and Nokia still has it. It is a trusted name that people relied on 20 years ago. Soon they will offer upgrades and eventually a smart phone featuring Microsoft programs. This is good strategy for comeback, say analysts.
