At the Nokia Capital Markets Day  (4 Dec. 2008)  the Finnish handset market expects the market to show a volume decline of 5 percent or more in 2009 due to the global slowdown in consumer spending, currency devaluation, credit tightness and channel destocking (see Rick Simonson, Chief Financial Officer, presentation 2008).

At the same time, Nokia has drastically scaled back its outlook for the mobile internet services market, where it has been launching a range of services in music, games, messaging and maps.

Whereas the company previously forecast the market for all internet services to be worth EUR 100 billion in 2010 (See Rick Simonson, Chief Financial Officer, presentation 2007) , it now expects a value for its targeted segments of just EUR 40 billion in 2011 (Niklas Savander, EVP, Services and Software, presentation 2008). Its own sales from internet services and software are expected to reach EUR 2 billion or more in 2011 and attract 300 million users by 2012. A summary is given at  telecompaper.com.

We should not expect an easy path ahead. However, Nokia is still a solid and strong player with 40% market share in the mobile market, with a strong brand (#5 worldwide, #1 in Asia and #1 Europe), with a world leading position in manufacturing and logistics, substantial lead in China, India, and MEA and cost & IPR advantage (see Rick Simonson, Chief Financial Officer, presentation 2008).