Reuters reports that multiple new cut-price handsets are in the works. Nokia already offers pretty affordable phones like the Lumia 620, which sells for just $250, but its higher end Lumia, the 920, sells for around $600. Its goal is to manufacture a number of phones that it can sell for less than $200.
The company, which traditionally has been the leader in affordable mobile phones, needs to take serious action in the wake of the proliferation of affordable Chinese manufacturers, like Huawei and ZTE.
The most affordable of the new line of phones would have basic functionality, but the company also plans to develop a version of its Windows 8 phone that is significantly more affordable than the current models it offers.
It’s important for the success of the company that it make this move. Before the rise of the smartphone, Nokia was the top dog in the mobile phone industry, but now it’s struggling. Last year, Nokia sales fell a staggering 21 percent. It may need to do something big in order to gain more ground. Many analysts are saying that, in order for the company to convince potential investors that its sales strategy is actually working, sales will need to double. (In the fourth quarter last year, it sold just 4.4 million Lumia phones.)
Though details of its plans for this new line are sparse, we’re pretty sure that we’re going to learn a whole lot more at the upcoming Mobile World Conference.